Indian shares look set to open lower on Wednesday after the Karnataka Assembly election results threw up an unexpected verdict and data showed India's trade deficit widened marginally in April from a year earlier amid surging oil imports. Rising oil prices and a weakening rupee on the back of FII selling may also dent investor sentiment.
Benchmark indexes Sensex and Nifty gave up initial gains to end marginally lower on Tuesday while the rupee saw a freefall to end down by 56 paise at a fresh 16-month low of 68.07 per dollar.
Asian stock are broadly lower after North Korea cancelled high-level talks with Seoul and threatened to scrap a historic summit next month between U.S. President Donald Trump and North Korean leader Kim Jong Un, saying the joint Air Force drills taking place in South Korea are ruining the diplomatic mood.
The dollar hovered near five-month high while oil prices fell in Asian trading on supply worries.
U.S. stocks fell notably overnight after Home Depot posted weaker-than-expected sales for the first quarter and bond yields surged to their highest level in almost seven years after the release of strong retail sales and homebuilder confidence data. The Dow and the tech-heavy Nasdaq Composite fell around 0.8 percent while the S&P 500 slid 0.7 percent.
European markets ended Tuesday's session on a lackluster note as investors continued to watch developments in Italian and digested a mixed bag of economic reports and corporate earnings.
The pan-European Stoxx Europe 600 index ended little changed with a positive bias. France's CAC 40 index and the U.K.'s FTSE 100 rose by 0.2 percent while the German DAX declined 0.1 percent.
by P2PNews Staff Writer