US markets decline while Treasury yields edge higher, S&P 500 falls 0.56%; GIFT Nifty down

Global Markets Outlook

The US markets traded in red on May 29 while treasury yields edged higher. The 2-year treasury note was up at 4.958 percent and the 10-year treasury note rose to 4.572 percent. At 8:30pm IST, the S&P 500 fell 0.56 percent to 5,276.23 and the Nasdaq Composite declined 0.47 percent to 16,939.91.

The Dow Jones Industrial Average was dragged nearly a percent lower to 38,499.06 as nearly two-thirds of its 30 stocks fell. Top losers included UnitedHealth, Amgen and McDonald’s which traded between 4 to 5.6 percent lower.

The GIFT Nifty continued to edge marginally lower for a second day in a row after Indian indices declined earlier during the day. The index traded flat-to-negative at 22,699.50.

Indian indices fell for a fourth day in a row amid heightened tensions in the Middle East region and weak global cues. Nifty fell 0.80 percent to 22,704.70 and the Sensex ended 0.89 percent lower at 74,502.90.

The European indices tumbled on Wednesday owing to inflation worries. The FTSE fell 0.87 percent to 8,182.58 and the DAX fell 1.07 percent to 18,477.75. The CAC led the losses as it traded 1.47 percent lower at 7,940.57.

Earlier during the day, the Asian markets also traded in red with the Nikkei fell 0.77 percent to 38,556.87. The Hang Seng also tumbled nearly 2 percent to 18,477.01.

FIIs/FPIs net sold massively at Rs 5,841.84 crore while the DIIs net purchased Rs 5,233.79 crore worth of Indian equities.

Crude broke away from previous day’s gains and declined 0.34 percent to $79.56. Brent was also down 0.42 percent at $83.87.