New Delhi, 06 November (H.S.): Global financial markets are sending bearish signals on Friday, with major US indices suffering steep losses in the previous session and Asian equities coming under intense selling pressure. Dow Jones futures are also trading sharply lower, reflecting continued investor anxiety. European markets, meanwhile, ended the previous session on a mixed note, with their benchmark indices witnessing fluctuations. Amid the widespread weakness across global markets, however, early indicators for the Indian equity market appear relatively encouraging.

US markets witnessed a sharp sell-off during the previous trading session. Investor concerns over the possibility of stricter regulations governing artificial intelligence (AI), following the Democrats gaining control of the US Congress, reportedly triggered nervousness in the market. The resulting pressure led to heavy selling in semiconductor and chip-making companies.

Amid this turmoil, the Nasdaq Composite recorded its steepest single-day decline in 19 months. On Thursday, the index plunged 1,421.51 points, or 5.52 per cent, to close at 24,315. The S&P 500 also registered a substantial decline of 334.89 points, or 4.36 per cent, ending the session at 7,353.73. The Dow Jones Industrial Average likewise fell 3.44 per cent to settle at 51,523.06.

The weakness has continued in the futures market. Dow Jones futures were trading in the red on Friday morning, down 474.46 points, or 0.92 per cent, at 51,048.60.

While US markets came under considerable pressure, European equities delivered a mixed performance in the previous session. Germany’s DAX index declined 112.66 points, or 0.43 per cent, to close at 26,325.01. Similarly, the United Kingdom’s FTSE index slipped 46.55 points, or 0.43 per cent, to settle at 10,782.66.

In contrast, France’s CAC index managed to recover from the broader selling pressure and ended in positive territory, gaining 27.48 points, or 0.33 per cent, to close at 8,205.37.

Against this backdrop of weak global cues, Asian markets also witnessed widespread selling during Friday’s morning session. Of the nine major Asian markets, eight were trading sharply lower, with only GIFT Nifty, which provides an early indication of the Indian market’s opening trend, managing to hold on to gains.

Despite the significant weakness across global markets, GIFT Nifty remained firm, trading 53.50 points, or 0.22 per cent, higher at 24,653. This offered some encouraging signals for domestic equities ahead of the opening bell.

Japan’s stock market witnessed particularly heavy losses, with the Nikkei 225 plunging 3,887.90 points, or 6.37 per cent, to 57,190. South Korea’s KOSPI also came under intense selling pressure, falling 305.95 points, or 5.68 per cent, to 5,077.85.

Taiwan’s stock market was similarly under considerable pressure. The Taiwan Weighted Index dropped 2,015.08 points, or 4.85 per cent, to 39,559.64.

Selling pressure also dominated Indonesia’s equity market, pulling the Jakarta Composite Index down 96.98 points, or 1.93 per cent, to 4,933.28. China’s Shanghai Composite Index also slipped into negative territory, declining 42.01 points, or 1.14 per cent, to 3,647.90.

Hong Kong’s stock market remained subdued as well, with the Hang Seng Index falling 274.98 points, or 1.12 per cent, to 24,522.

Meanwhile, Thailand’s SET Composite Index was trading 16.88 points, or 1.13 per cent, lower at 1,481.11. Singapore’s Straits Times Index also remained under mild pressure, registering a marginal decline of 7.20 points, or 0.14 per cent, to trade at 5,172.26.

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Hindusthan Samachar / Jun Sarkar