FX.co ★ Sensex, Nifty Set For Muted Open

Indian shares are anticipated to open on a softer note this Thursday as investors contend with uncertainties surrounding U.S. policies and ongoing foreign institutional investor (FII) sell-offs. Any upward movement is expected to be restrained, particularly with the market closing on Friday for the Guru Nanak Jayanti holiday.

Key companies such as Grasim, Hero MotoCorp, and Hindustan Aeronautics Limited (HAL) are scheduled to release their quarterly earnings later today, which might influence market movements. On Wednesday, major indices Sensex and Nifty saw declines of 1.3% and 1.4%, respectively, attributed to continuous foreign funds withdrawal.

Meanwhile, the Indian rupee closed 1 paise higher at 84.38 per dollar, allegedly due to the Reserve Bank of India's intervention at the lower exchange rates. In the Asian markets, there were only modest gains this morning. Gold remained close to a two-month low influenced by a stronger dollar, while oil prices saw a slight increase following the release of mixed inventory data.

On Wall Street, U.S. stocks showed mixed results by the end of the trading session. This came amid rising long-term Treasury yields as expectations grew that the Federal Reserve might not cut rates as previously anticipated. The consumer price index recorded a 0.2% rise in October for the fourth consecutive month, meeting market expectations. Annually, consumer price growth accelerated to 2.6% in October from 2.4% in September, with the core consumer price inflation rate holding steady at a three-month high of 3.3%.

In the U.S., the Nasdaq Composite fell by 0.3%, whereas the S&P 500 and the Dow Jones Industrial Average posted minor gains. European markets wrapped up Wednesday with declines, as concerns persisted over regional growth prospects amid inflation fears and tariff issues in the wake of the Trump 2.0 era. The pan-European STOXX 600 fell by 0.1%. Germany's DAX decreased by 0.2%, France's CAC 40 also dipped by 0.1%, while the U.K.'s FTSE 100 managed to see a slight increase.