The Indian stock market has been grappling with a prolonged downturn, closing lower for five consecutive sessions. Concerns over muted GDP growth, disappointing corporate earnings, and persistent selling by foreign institutional investors have contributed to the gloomy sentiment.
While global markets present a mixed picture, India’s struggles stand out. The US market, led by the S&P 500 and Dow Jones, posted modest gains, but the Nasdaq composite declined. Federal Reserve Chair Jerome Powell’s comments on maintaining higher interest rates have added to global uncertainty, with implications for emerging markets like India.
The announcement of US tariffs on foreign steel and aluminum imports has further fueled fears of a trade war, which could impact India’s export-driven sectors. The Indian rupee ended flat at 82.96 per dollar, reflecting cautious investor sentiment.
As global markets await the US consumer price index report for January, Indian investors are closely monitoring domestic economic indicators and corporate earnings for signs of recovery.
