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Market Review

US: US markets fell after displaying their best performance since 2019 over the past week. This decline came as stronger-thanexpected manufacturing data weighed in on fears that there will be no rush in the Fed Reserve’s rate cuts for the year.

Asia: Asian stocks rose on Tuesday and the dollar firmed, keeping the yen pinned near the 152-per-dollar levels that has traders worried about possible intervention, as expectations that the Fed Reserve was close to cutting interest rates faded.

India: Sensex ended in positive territory, with gain led by Largecap and Mid-cap stocks. Bank Nifty index ended higher by 453.65 points or 0.96% to settle at 47,578.25. Media and Realty stocks outperformed among the other sectoral indices while FMCG and Auto stocks shed. Market is expected to open on flattish note and likely to witness sideways move during the day.

Global Economy: U.S. manufacturing grew for the first time in 1- 1/2 years in March as production rebounded sharply and new orders increased, but employment at factories remained subdued amid "sizable layoff activity" and prices for inputs pushed higher. The survey from the Institute for Supply Management (ISM) suggested the sector, which has been battered by higher interest rates, was on the mend, though risks remain from rising raw material prices. Timothy Fiore, who chairs the ISM's manufacturing business survey committee, said "demand remains at the early stages of recovery, with clear signs of improving conditions."

U.S. construction spending unexpectedly fell in Feb as strength in single-family homebuilding was more than offset by weaknesses in non residential and public projects. The Commerce Department said that construction spending dropped 0.3% after an unrevised 0.2% decline in Jan.

Commodities: Gold prices held steady on Tuesday backed by lower U.S. Treasury yields, after touching a record high in the previous session on growing expectations that the Reserve would cut interest rates for the first time in June. Oil prices gained in early Asian trading on Tuesday, underpinned by signs of improved demand and escalating Middle East tensions that had sparked a rally in U.S. futures to a five-month high in the previous session.

Currency: The dollar rose on news that the U.S. manufacturing sector grew in March for the first time since September 2022, while the yen lingered below 152 per dollar over the threat of intervention by the Bank of Japan.

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