Mumbai/Hong Kong/New York, November 10:
Global markets climbed sharply on Monday after signs of a U.S. congressional funding deal to end the 40-day government shutdown, restoring investor confidence and pushing equities higher across major economies.
Asian markets, led by India, Japan, and South Korea, opened on a positive note. The BSE Sensex gained over 450 points in early trade, while the Nikkei 225 and Kospi each advanced more than 1%, tracking Wall Street’s rebound from last week’s volatility.
Investors Cheer U.S. Budget Breakthrough
The rally followed reports from Washington that a bipartisan agreement was reached to resume U.S. federal funding, easing fears of prolonged economic disruption.
Analysts said the development provided short-term relief to global risk sentiment, especially after weeks of market uncertainty.
“The resolution in Washington has lifted a cloud over markets,” said a senior strategist at Global Equity Advisors. “The risk-on sentiment is back, though bond traders are still pricing in higher yields.”
Currencies and Bonds React
The U.S. dollar strengthened, while the Japanese yen weakened to a two-week low, reflecting renewed appetite for risk assets.
In the bond market, Treasury yields climbed, with the 10-year note touching 4.65%, as investors moved away from safe-haven assets.
Asian and Indian Market Snapshot
India’s Nifty 50 index traded above 23,000 for the first time in weeks, buoyed by strong buying in banking and infrastructure stocks. Foreign institutional investors (FIIs) turned net buyers after several sessions of outflows.
In Japan, exporters rallied on the weaker yen, while Hong Kong’s Hang Seng Index recovered from recent lows on tech sector strength.
European Futures and Commodities
Futures indicated a positive open for European markets, with the FTSE 100 and DAX both expected to rise.
Oil prices remained steady around $78 a barrel, while gold edged lower as traders shifted toward equities.
Conclusion
As global investors welcome the end of America’s fiscal stalemate, the mood across equity markets has turned optimistic.
Analysts caution, however, that sustainability will depend on U.S. inflation data and central bank policy moves expected later this week.
