Market Likely To Open Positive

Indian equities market registered the lowest close over a year on Wednesday with negative cues from the Asian exchanges continuing to dampen investor sentiment. The BSE Sensex closing down 242.88 points, or 0.95%, at 25,453.56 -- its lowest close since August 8, 2014. The Nifty managed to hold above the 7,710-mark, which ended the day at 7,717, down 68.85 points, or 0.88%. Both of these indices fell for the third straight day in a row. The BSE Mid-Cap index dropped 86.76 points or 0.82% to settle at 10,437.07 where as the BSE Small-Cap rose 16.25 points or 0.15% to settle at 10,749.63.

U.S. stocks rebounded Wednesday, recovering a significant portion of their losses from the day earlier after Federal Reserve report painted a more optimistic economic picture, soothing worries about the possible impact of the slowdown in China on the U.S. The S&P 500 closed up 35.01 points, or 1.8%, to finish at 1,948.86. The Dow Jones Industrial Average gained 293.03 points, or 1.8%, to end at 16,351.38, while the Nasdaq Composite Index picked up 113.87 points, or 2.5%, to close at 4,749.98, put the tech laden back in positive territory.

Oil ended a choppy day higher after an Energy Department report showed a decline in fuel supplies, which suggests rising demand. The price of oil climbed despite a surprise increase in supplies of crude. U.S. crude rose 84 cents to close at USD 46.25 a barrel in New York. Brent crude, a benchmark for international oils used by many U.S. refineries, rose 94 cents to close at USD 50.50 a barrel in London.

In the global currency market, the dollar rose against the yen and the euro in line with recovery in global share prices. The euro traded at USD 1.1216, down from this week's high of USD 1.1332 while the yen traded at 120.65 to the dollar, compared to Tuesday's one-week high of 119.225 per dollar. The Brazilian real tumbled to its weakest level since 2002 on Wednesday as expectations of a growing fiscal deficit fed fears that Brazil would lose its investment-grade credit rating.

Europe closed modestly higher. Germany’s DAX rose 0.3%, France’s CAC 40 rose 0.3% and the U.K.’s FTSE 100 rose 0.4%.

Asian stocks rose, following a rebound in U.S. shares, with markets in China and Hong Kong closed for a holiday. Japan's Nikkei gained 1.83% thanks to the inspiring handover from Wall Street and renewed weakness in the yen. South Korea’s Kospi index rose 0.4%. Australian stocks fell into negative turf by 0.51% early Thursday, following a slew of less-than-stellar economic data releases.

A SGX CNX Nifty Index future for September delivery was up 24 points at 7,764. Indian market is likely to open in green on positive global cues.