Market Cues Today: India-US Trade Deal, Adani Group Stocks, Crude Oil, Gold Price

Domestic equities are set to open the session on September 19 amid a mix of global and local cues. Market participants will track cues from overnight action on the Wall Street, early trade in Asian markets, bond yields, crude oil prices, currency fluctuations, along with several developments on the geopolitical front.

In the previous session on September 19, benchmark indices extended gains for the third consecutive day amid positive global cues. The Sensex closed at 83,013.96, up by 320.25 points, or 0.39 per cent. On the other hand, the Nifty 50 ended at 25,423.60, up by 93.35 points, or 0.37 per cent.

Key Market Cues To Watch Today

India-US Trade Deal

Chief Economic Adviser V. Anantha Nageswaran on September 18 said he is hopeful that India’s tariff issues with the U.S. will be resolved in the next eight to 10 weeks.

Speaking at an event organised by the Bharat Chamber of Commerce in Kolkata, Nageshwaran said that both governments are already in talks behind the scenes. “My hunch is that in the next eight to 10 weeks, we will likely see a solution to the tariffs imposed by the US on Indian goods,” he said.

BoE Holds Interest Rates

The Bank of England (BoE) kept its benchmark interest rate unchanged at 4 per cent at its September 18 policy meeting. The pause comes after the central bank delivered a 25-basis-point cut in August. This also comes a day after the US Federal Reserve reduced rates for the first time this year.

Governor Andrew Bailey said inflation is expected to ease back towards target, though he cautioned that it still poses risks. He stressed that any future rate cuts would need to be taken “gradually and carefully.”

Japan Inflation

Japan’s core inflation, which strips out fresh food prices, eased to 2.7 per cent in August, its lowest since November 2024 and the third straight monthly decline.

Headline inflation also fell to 2.7 per cent from 3.1 per cent in July, while the “core-core” inflation, which excludes fresh food and energy prices, slipped to 3.3 per cent from 3.4 per cent.

Bank of Japan Interest Rate Decision Today

Bank of Japan (BoJ) is set to announce its decision on interest rates later today. Markets are widely expecting that BoJ will keep rates steady, as policymakers are waiting to the impact of US Preisdent Donald Trump’s tariffs.

Market participants will be watching Governor Kazuo Ueda’s press briefing for clues on when the BoJ might restart rate hikes. Rate hikes have been on hold since January as policymakers assess the impact of tariffs.

Sebi Clears Adani Group In Hindenburg Case

Market watchdog Securities and Exchange Board of India (Sebi) dismissed allegations by US short seller Hindenburg Research against Adani Group Chairman Gautam Adani and group companies. 

Hindenburg had claimed in January 2023 that Adani used three companies - Adicorp Enterprises, Milestone Tradelinks and Rehvar Infrastructure - to route money between Adani firms. 

In two orders, Sebi said there were no violations, as the transactions occurred before the definition of related party dealings was revised. The regulator noted that all loans were repaid, funds were used as intended, and no fraud or unfair trade practices were found. Proceedings against the group were dropped, PTI said in a report. 

US Initial Jobless Claims

US jobless claims fell sharply last week, easing labor market worries. Initial claims for state unemployment decreased 33,000 to a seasonally adjusted 231,000 for the week ended September 13, US Department of Labour data showed. Claims in the previous week was revised up to 264,000, the highest since October 2021.

Crude Oil Price Today

Crude oil prices edged lower in early trade. The Brent oil November futures slipped 0.24 per cent to $67.28 per barrel, while the West Texas Intermediate (WTI) crude oil October futures declined 0.30 per cent to $63.38 per barrel.

Gold Price Today

Gold prices advanced in early trade on Multi Commodity Exchange (MCX). October Gold futures climbed Rs 488, or 0.45 per cent higher to trade at Rs 1,09,540 per 10 grams.

On COMEX, December Gold futures closed at $3,691.60 per ounce, up by 13.30, or 0.36 per cent, on September 18.

US Dollar Index

After a two-day rebound, the US dollar index, which measures the value of the dollar against a pack of six major currencies, traded flat at 96.96 in early trade today.

US Bond Yields

The benchmark US 10-year Treasury yield notched 0.41 per cent higher at 4.12, extending gains for the third consecutive session. During the previous three sessions, it has surged by 9.6 basis points.