Global market update: US tech stocks, crude oil and gold price fall; Chinese and Hong Kong markets outperform

Indian markets will remain closed on Wednesday due to the Maha Shivratri holiday. The global markets closed mixed on Tuesday overnight, with US markets closing in red on the NASDAQ and S&P500. In addition, the Asian markets too traded mixed with Japanese markets opening in red and Chinese and Hong Kong markets in green.

US markets

The tech-heavy NASDAQ index fell the most among other benchmark indices in the US as concerns over stickier inflation and weak economic growth could impact tech earnings. In addition, market participants also adopted a cautious stance ahead of NVIDIA’s earnings, scheduled to be released today. The Dow Jones closed in green, with 130 points gains. Tech stocks were a major drag on the US markets, with Nvidia losing 2.7% ahead of quarterly earnings.

Asian markets

In Asia, Chinese and Hong Kong markets continue to outperform their regional counterparts. Chinese and Hong Kong indices traded in the green, with the Hang Seng index gaining the most, 2.6%. On the other hand, the Japanese markets continued to hit new lows on a monthly basis.

Crude Oil

Crude oil prices fell more than 2.6% to December low levels as rising inflation and a weak US economic environment weighed on energy demand. WTI crude oil prices fell below $70 per barrel, and Brent crude oil prices traded below $73 per barrel. In addition, the softening of geopolitical risks in the Russia-Ukraine war also weighed down on supply concerns.

FII and DII activity

The foreign investors sold another ₹3,529 crore worth of Indian equities on Tuesday and held on to short positions worth 2 lakh contracts on the short side in the derivatives market. On the other hand, the domestic investors added equities worth ₹3,030 crore.