Global Markets Await Trump Policies Amidst Year-End Uncertainty

The Nifty 50 and Sensex indices opened with minor declines as weak market sentiments persisted, dampening hopes for a year-end rally. Analysts cite impending U.S. policy announcements and geopolitical tensions as factors in the markets' cautious outlook.

Global financial markets are treading cautiously as the Nifty 50 index opened at 23,796.90, reflecting a slight dip of 16.50 points or 0.07 per cent. The BSE Sensex followed suit, starting the day at 78,637.90, down by 61.17 points or 0.08 per cent. Market analysts have highlighted weak buying sentiments as key contributors to the current decline, dashing hopes for a traditional year-end rally. Experts suggest that any significant market movements could hinge on forthcoming policy announcements by U.S. President Donald Trump.

Ajay Bagga, a banking and market expert, expressed a dim outlook for Indian markets in the near term. "It seems like Santa Claus has skipped the market this year, with Asian markets also subdued following a slight tech-driven decline in the U.S.," Bagga told ANI. As Trump prepares to assume office on January 20th, global markets are keenly observing his first set of executive orders. These could set a precedent for future negotiations and market trends, further adding to the current uncertainty.

The NSE's sectoral indices opened in red, with selling pressure widespread. Among the Nifty 50 stocks, 14 traded positively, while 36 faced declines. Leading gainers included Adani Enterprises and Bharti Airtel, whereas BPCL and ONGC topped the list of losers. Analysts maintain that significant resistance levels around 23,800 and 24,150 on the Nifty could be crucial for any bullish turn. Akshay Chinchalkar from Axis Securities notes that historical data supports a hopeful end-of-calendar-year performance, although recent macroeconomic factors present challenges for both local and international markets in the weeks ahead.

(With inputs from agencies.)