Tech Stocks Surge as U.S. Inflation Eases, Global Markets Show Mixed Trends

Indian Developments

The Indian market started the week on a strong note with Nifty closing above 22,500. By the end of the week, Nifty slipped below 22,500. Market influenced by lower than expected US inflation data, global trade tariff , economic uncertainties and trade tensions due to concerns over US trade policies.

Gold prices surged during the week amidst global uncertainties due to strong DXY .Crude oil prices remain volatile during the week based on global demand, geopolitical tensions, and supply chain dynamics.

The Nifty 50, Nifty Midcap 150, and Nifty Small cap 250 indices dropped by 0.65%,2.39% and 2.81% respectively during the week ending March 13, 2025.

Sectoral Developments

A major downturn can be seen in IT stocks by 5.30% due to currency fluctuations and US trade policies following decline can be observed in Nifty Realty (3.15%), Nifty Consumer Durables (2.93%),Nifty PSU Bank (2.45%), Nifty Bank ( 1.17%).

Nifty financial Services experienced a marginal positive momentum, rising by 0.55% and Nifty India Defense showed positive trend and week on week gains and recorded uptick of 2.55% vis-à-vis previous week.

Global Developments

Global markets experienced volatility due to mixed economic data, corporate earnings and ongoing trade tensions, but some indices managed to recover from initial losses. US market surges over the week due to tariff-related worries lingered while mixed rection can be seen for the inflation data and fears of an economic slowdown.

U.S. indices experienced significant declines, with the S&P 500 dropping by 4.12%, the Dow Jones Industrial Average falling 3.81%, and the Nasdaq 100 plunging 4.97%. In Asia, Japan's Nikkei slipped by 1.60%. On the other hand, Kospi ,Hang Sang and Sanghai marginally increased by 0.65%,0.60%,0.90% respectively. While the FTSE index significantly dropped from last week by 2.13%.

Other Markets:

• Brent crude prices slightly increased to around $ 70.62 per barrel.
• The rupee was depreciated to 87.01 levels against the US dollar on the back of RBI intervention.
• The Gold spot price stood at ~Rs 88,705 per 10 grams.
• The 10 Year Benchmark G-Sec yield closed at 6.79% this week.

Source: www.nseindices.com; google finance, MCX Gold Prices; www.rbi.org.in; Morningstar and tradingeconomics.com, ccilindia.com, Economic times

Data for week ended on March 13th , 2025.

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