Trade war will be one of the biggest factors for markets this week. India has raised tariffs on 28 items exported from the US with effect from Sunday in retaliation to America’s withdrawal of preferential access for Indian products from June 5.
Additionally, US Federal Reserve’s interest rate decision, and the Reserve Bank of India’s (RBI) minutes of the monetary policy meeting, slated to be announced on Wednesday, June 19 and Thursday, June 20, respectively will remain in focus.
Moreover, Current Account Balance data, GST council meeting, progress in monsoon, foreign fund inflow, oil prices, and rupee value against the dollar will also be keenly watched.
On Friday, the benchmark S&P BSE Sensex ended 289 points lower at 39,452 while the broader Nifty50 index tumbled 91 points to 11,823.
The rupee fell by another 30 paise to close at 69.80.
Stocks in Asia traded lower on Monday tracking weak global cues. Japan’s Nikkei 225 declined 0.25 per cent in early trade while South Korea’s Kospi shed 0.26 per cent.
On Wall Street, indices ended Friday’s session lower. The Nasdaq shed 40 points to end at 7,797, the S&P500 lost 5 points to close at 2,887 and the Dow Jones Industrial Average slipped 17 points to settle at 26,090.
In the commodities market, oil prices were trading higher in the morning trade on Monday. Brent Crude Futures were trading at $62.25, up 0.39 per cent against Friday’s close.