Bond yields fell sharply on Thursday as U.S. stock traders welcomed signs of deinflation. This came as markets expect the Federal Reserve to cut interest rates soon. Those expectations also sparked a big shift in the stock market, as traders moved out of technology giants, long a favored safe-haven trade, and into smaller caps.
The S&P 500 fell 0.74% to 5,592 after its longest gain of the year. The Nasdaq 100 was down more than 2.15% as of 12:59 p.m. The Russell 2000 rose 3.13%, its best day of 2024. The Dow Jones Industrial Average rose 0.05%.
Brent crude oil was down 0.05% to trade at $85.04 a barrel. Gold rose 1.72% to $2,412.10 an ounce.
Indian indices opened positive but lost all gains within the first few hours of trading. Under selling pressure, Nifty dipped below 24,200. However, it recovered all losses later in the session and eventually closed almost unchanged.
The NSE Nifty 50 closed down 8.50 points or 0.04 percent at 24,315.95 and the S&P BSE Sensex closed down 27.43 points or 0.03 percent at 79,897.34.
Overseas investors sold Indian shares on Friday after a six-day net buying spree. Overseas portfolio investors sold shares worth Rs 1,137.01 crore while domestic institutional investors continued their four-day net buying spree, buying shares worth Rs 1,676.47 crore, according to provisional data from the National Stock Exchange.
The Indian currency fell by 3 paisa to close at 83.56 paisa against the US dollar.
