Global markets have turned uncertain again. US futures, which had risen on Wednesday, slipped on Thursday morning, while Asian markets traded mixed. The dollar strengthened, gold declined and crude oil prices fell again.
In derivatives trading at GIFT City, GIFT Nifty closed at 25,243.00 on Wednesday night. It slipped to 25,208 on Thursday morning before recovering slightly, indicating a largely flat opening for the Indian market.
Meanwhile, Nvidia CEO Jensen Huang faces the possibility of removal following reports of personal relationships that have raised concerns over corporate governance and national security. Nvidia shares, which had gained during regular trading on Wednesday, fell sharply in after-hours trading. Betting on prediction markets indicated an 80% probability of Huang leaving the company before 1 December.
India's October Consumer Price Index (CPI) inflation data will be released after market hours on Thursday. Various agencies and banks expect inflation to reach 6% or more. Retail inflation stood at 4.83% in August and 5.54% in September.
Nvidia shares, which had declined in previous sessions, rose 2.92% during regular trading on Wednesday. However, the stock fell nearly 10% in after-hours trading following the latest reports.
CoreWeave, in which Nvidia has made a substantial investment, reported better-than-expected quarterly results. CoreWeave shares jumped 24%, helping lift AI and semiconductor stocks during regular trading. Nvidia also benefited from the rally.
The developments could affect not only Nvidia but also the wider AI industry. Nvidia accounts for an estimated 90% of graphics processing units (GPUs) used in AI applications.
The company has made major investments in next-generation computing and data centre companies, including CoreWeave. Established technology companies such as Intel and Oracle, as well as Microsoft, Google, Meta Platforms, Amazon and Apple, use Nvidia GPUs for AI-related operations.
Huang has not publicly identified a successor, and there is no widely recognised leadership candidate within Nvidia.
Some observers have suggested Lisa Su, chair and CEO of Advanced Micro Devices (AMD), as a possible successor. Su, who is related to Huang, was also born in Taiwan and educated in the US. However, there has been no official indication that she is being considered for the position.
Strong third-quarter results and an improved revenue outlook from CoreWeave helped ease concerns about technology and AI investments on Wednesday. US stock markets registered solid gains.
Investor interest in the proposed IPO of AI company Anthropic also supported market sentiment. Trading is expected to begin on 19 November, with the company reportedly valued at $1.4 trillion.
The Dow Jones Industrial Average gained 254.60 points, or 0.49%, to close at 52,486.49. The S&P 500 rose 98.45 points, or 1.31%, to 7,619.38, while the Nasdaq Composite jumped 400.31 points, or 1.60%, to close at 25,466.19.
US futures traded lower on Thursday morning. Dow Jones futures fluctuated, while S&P 500 futures fell 30 points, or 0.40%. Nasdaq 100 futures declined 192 points, or 0.67%.
In New York's American Depositary Receipt (ADR) market, HDFC Bank gained 0.15% during regular trading on Wednesday and remained unchanged in after-hours trading at $26.02.
ICICI Bank fell 0.40% during regular trading and remained unchanged after hours at $34.74.
Infosys declined 2.30% during regular trading before recovering 0.35% after hours to close at $12.34.
Wipro fell 0.46% during regular trading and lost another 1.94% after hours to finish at $2.1181.
European stock indices rose more than 1% on Wednesday, supported by gains in technology shares and better-than-expected corporate results. Lower crude oil prices also helped market sentiment.
Asian markets traded mixed on Thursday morning. South Korea's Kospi declined 0.50%, while Japan's Nikkei gained 0.25%.
Australia's benchmark index fell 0.40%, while Taiwan's index rose 0.50%. Shanghai recorded marginal gains, while Hong Kong's Hang Seng fell 1%.
The Indian stock market surged in early trading on Wednesday but gave up nearly half its gains following profit-booking in the afternoon. Nevertheless, the benchmark indices ended the session with substantial gains.
The Sensex, which had risen more than 1,400 points, and the Nifty, which had gained over 380 points, surrendered much of their advances. Before the closing auction, the Sensex was more than 1,000 points below its intraday high.
The BSE's market capitalisation rose to ₹510.72 lakh crore ($5.44 trillion), while the NSE's market capitalisation stood at ₹506.65 lakh crore ($5.40 trillion).
The broader market was positive, with most stocks closing higher. On the BSE, 2,873 stocks advanced and 1,644 declined. On the NSE, 2,487 stocks gained while 1,155 fell.
Foreign institutional investors (FIIs) made net purchases worth ₹12,563.33 crore in the cash market on Wednesday. Domestic institutional investors (DIIs) recorded net sales of ₹8,434.53 crore.
The Sensex gained 772.75 points, or 0.95%, to close at 81,879.40. The Nifty rose 210.40 points, or 0.84%, to end at 25,255.05.
Bank Nifty surged 1,051.15 points, or 1.76%, to close at 60,792.40. The Nifty Midcap 100 gained 496.55 points, or 0.81%, to 61,519.10, while the Nifty Smallcap 100 advanced 304.30 points, or 1.59%, to close at 19,489.35.
Morgan Stanley Capital International (MSCI) has added four Indian stocks to its Emerging Markets Index and removed one. LIC, Coforge, Adani Green Energy and Meesho have been included, while PI Industries has been excluded.
The additions could attract investments totalling around $1.75 billion, while PI Industries could see outflows of approximately $120 million. The index weightings of about a dozen other Indian companies will also increase.
Expectations that the US Federal Reserve could raise interest rates by as much as 0.50 percentage points in December put renewed pressure on gold prices. The Fed's next policy announcement is scheduled for 9 December.
According to the CME FedWatch tool, markets assign an 87.1% probability to a 0.25 percentage point rate increase and a 12.9% probability to a 0.50 percentage point increase.
Gold fell $44.80, or 1.11%, to close at $3,989 per ounce on Wednesday. It recovered slightly to $3,995 on Thursday morning. In Kerala, the price of 22-carat gold declined by ₹520 per pavan on Wednesday to ₹1,04,120.
Silver rose 0.25% to close at $51.80 per ounce on Wednesday. It traded at $51.93 on Thursday morning. Platinum stood at $1,538 per ounce, palladium at $1,014 and rhodium at $8,725.
Rubber prices increased in overseas markets but declined in Kerala. In Bangkok, RSS-1 rubber was quoted at $278.00 per quintal and RSS-3 at $274.55. In Kerala, RSS-4 rubber was priced at ₹29,200 per quintal.
Industrial metals moved in different directions on Wednesday. Copper declined 0.83% to $13,875.50 per tonne, while aluminium rose 1.93% to $3,068.50.
Nickel, zinc and tin declined, while lead gained.
Cocoa prices climbed 3.90% to close at $5,061.11 per tonne, although prices have fallen 16.77% over the past month. Stocks at ICE Exchange reached 3.752 million bags, the highest level in two-and-a-half years.
However, Reuters reported that the mid-crop harvest in Ivory Coast could fall by half to 350,000 tonnes during the 2026-27 season because of dry weather. Production is also expected to decline in Ghana and Nigeria.
Arabica coffee fell 0.70% to $2.695 per pound.
Palm oil gained 3.62% to 4,410 Malaysian ringgit per tonne.
Expectations of higher US interest rates pushed the dollar index sharply higher on Wednesday. It closed at 102.91 before easing to 102.84 on Thursday morning.
The euro declined to $1.1092 and the pound to $1.3273. The dollar strengthened to 159.77 Japanese yen. The Chinese yuan remained at 6.67 against the dollar.
The yield on the US 10-year Treasury note declined to 4.984% on Thursday morning.
The return of foreign investors to Indian equities and lower crude oil prices supported the rupee on Wednesday.
The dollar declined by 24 paise to close at ₹93.69. During the session, it fell to ₹93.63. In the offshore forward market, the dollar was quoted at ₹93.76 on Thursday morning.
The Chinese yuan declined to ₹14.05, while the euro fell to ₹103.96.
Crude oil prices rose slightly on Wednesday following uncertainty over peace efforts involving Iran. However, prices declined again on Thursday morning.
Brent crude gained 1.4% on Wednesday to reach $92.76 per barrel before slipping to $91.92 on Thursday morning. WTI crude was trading at $85.78 per barrel.
Cryptocurrency markets remained volatile on concerns that a Democratic majority in the US Congress could lead to tighter regulations.
Bitcoin recovered slightly but remained below $73,600. Ether traded below $2,050, while Solana remained below $83.20.
(Wednesday, November 11)
Sensex: 81,879.40 (+0.95%)
Nifty 50: 25,255.05 (+0.84%)
Bank Nifty: 60,792.40 (+1.76%)
Nifty Midcap 100: 61,519.10 (+0.81%)
Nifty Smallcap 100: 19,489.35 (+1.59%)
Dow Jones: 52,486.49 (+0.49%)
S&P 500: 7,619.38 (+1.31%)
Nasdaq: 25,466.19 (+1.60%)
US Dollar: ₹93.69 (−₹0.24)
Gold (per ounce): $3,989.00 (−$44.80)
Gold (per pavan): ₹1,04,120 (−₹520)
Brent Crude Oil: $92.76 (+$1.27)