The domestic stock markets are likely to open flat, going by early cues from Singapore Nifty futures trading. Trends on SGX Nifty indicate a flat opening for the index in India, with a 4 points gain. At 7:30 am, the Nifty futures were trading at 11,512, higher by four points, on the Singapore Stock Exchange.
Asian shares were trading mostly higher, encouraged by buoyant U.S. moves that followed stronger-than-expected manufacturing indicators while the dollar emerged from its recent lows against the euro.
Overnight, the S&P500 and the Nasdaq hit new highs with technology leading the charge as Apple, Zoom Video soared, and on the macro front, better-than-expected data on US manufacturing sector data gave optimism about economic recovery.
The Dow Jones ended higher by 215 points, the S&P 500 gained 0.75 per cent and the Nasdaq Composite added 1.3 per cent.
Meanwhile, oil prices rose on Tuesday, reversing overnight losses as better-than-expected U.S. manufacturing activity data spurred hope for a post-pandemic economic recovery, and as analysts forecast a sixth weekly drawdown in U.S. crude inventories.
Brent crude futures gained 89 cents, or nearly 2 per cent, to $46.17 a barrel by 10:47 a.m. EDT (1447 GMT), while U.S. West Texas Intermediate (WTI) crude futures rose 74 cents, to $43.35 a barrel.
On Tuesday, the S&P BSE Sensex and NSE Nifty 50 indexes closed higher, led by gains in Bharti Airtel, Hindustan Unilever, HDFC Bank, Bajaj Finance and Asian Paints. The Sensex ended 273 points higher at 38,900.80 and Nifty 50 index advanced 83 points to close at 11,470.25.