Market Cues Today: US Government Shutdown, FII Outflows, Commodity Price Fluctuations And Other Factors Slated To Impact Trade

Market Cues Today: The Gift Nifty has started the week in the green as the index opened at 24,987 levels up by 0.14 per cent. The benchmark indices are also likely to track the gains in the Gift Nifty on October 6. Earlier on October 3, the headline indices extended gains for the second straight day.

Notably, the BSE Sensex finished the session at 81,207.17 up by 223.86 points or 0.28 per cent and the Nifty 50 finished the session at 24,894.25 up by 57.95 points or 0.23 per cent.

Stock Market Cues On October 6

Rising fears regarding the extension of a US government shutdown, fresh developments on the India-US trade deal front and foreign portfolio investor outflows are expected to impact trading activity in the Indian stock market on October 6. The market is also likely to factor in fluctuations in key commodity prices such as gold and crude oil.

US Government Shutdown

The ongoing government shutdown in the US has heightened uncertainty on Wall Street. The shutdown is also expected to impact investor sentiment as uncertainty regarding future US policy moves remain unclear. A US government shutdown happens when the U.S. Congress fails to pass funding legislation for the next fiscal year, which begins on October 1. The current shutdown started on October 1, 2025, after Republicans and Democrats failed to reach an agreement on a budget bill.

India US Trade Deal

External Affairs Minister, S Jaishankar addressed the Kautilya Economic Conclave and said that efforts are currently under way to find a "landing ground” for the India-US trade deal. However, Jaishankar emphasised that the US has to respect India's ‘red lines’ amid the ongoing trade negotiations.

FII Outflows

Foreign institutional investors have remained net sellers of Indian equities for the last three months. In the last three months (July, August, September), FIIs have net sold equities worth  Rs 1,29,870.96 crore. The trend has continued in the first week of October with FIIs net selling equities worth Rs 3,188.57 crore. Domestic Institutional Investors (DIIs) continued a buying spree purchasing equities worth Rs 3,405.90 crore in October so far.

Crude Oil Prices On October 6

In the early hours of October 6, crude oil prices edged higher with the price of West Texas Intermediate crude increasing by $0.88 or 1.45 per cent to $61.76. On the other hand the price of Brent Crude increased by $0.91 or 1.41  per cent to $65.44. The price rise followed an announcement by the OPEC+ which indicated a relatively modest monthly increase in production than expected, alleviating some concerns regarding supply additions.

Gold Rate On October 6

On October 6, gold prices dipped slightly, the price of 24 karat gold was Rs 11,939 per gram, the price of 22 karat gold was around Rs 10,944 per gram and the price of 18 karat gold was Rs 8,954 per gram as per the Goodreturns website.

Asian Indices Trade Mixed On October 6

In the early hours of October 6, Japan’s Nikkei 225 rallied 4.59 per cent to trade at 47,871 levels following a decision by the Japanese ruling-party elected pro-stimulus lawmaker Sanae Takaichi to become Japan’s first female prime minister. Other Asian indices traded mixed with the Hang Seng declining 0.88 per cent and the Shanghai Composite advancing 0.52 per cent in early trade.

US Market Indices

Wall Street indices finished the session mixed on October 3, the Nasdaq Composite declined 0.28 per cent while the Dow Jones Industrial Average and the S&P 500 climbed 0.51 per cent and 0.01 per cent respectively.