Sensex opens 50 points lower, Nifty opens flat

key indices on Friday opened mildly lower tracking weak Asian cues. The BSE benchmark Sensex was down 92.18 points at 35,012.69 and the 50-share NSE Nifty fell 32.85 points to 10,646.80.

Asian shares were steady while the Japanese yen held onto overnight gains in early trading on Friday as financial markets turned their attention to the looming US payrolls data for fresh catalysts.

Investors were cautious after a largely weak performance on Wall Street overnight as some disappointing earnings reports offset strong economic data, while bond yields slid after a surprising slowdown in euro zone inflation.

The US dollar weakened during what was a choppy session a day after the Federal Reserve ended a policy meeting with no change in rates and a less hawkish statement than investors had anticipated.

MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.05 per cent, while the dollar dropped 0.06 per cent against the yen to 109.11.

"Macro data from the U.S. and Europe are struggling to meet lofty expectations," analysts at ANZ said in a note.
The US dollar had erased all its 2018 losses in the past two weeks on expectations the Fed will continue to raise rates, even as other major central banks around the world, including the European Central Bank, take longer to reduce stimulus.

Meanwhile, the rupee edged one paisa higher to 62.63 against the US dollar in early trade today after the greenback weakened overseas ahead of monthly US jobs report and China-US trade meet outcome.

Forex dealers said besides selling of the American currency by exporters and banks, weakness in the dollar against other currencies as senior Chinese and US officials met in Beijing today for a second day of trade talks, supported the domestic unit.

Investors are also keeping an eye on the US employment report for April for further indications of the strength of the US labour market and inflation pressures, they added.

Yesterday, the rupee had ended marginally 2 paise higher at 66.64 against the US dollar despite a caution among investors ahead of trade talks between China and the US.