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Sensex, Nifty To Open Lower On Weak Global Cues

Indian shares look set to open a tad lower on Thursday amid mixed catalysts.

India's industrial production grew more-than-expected in April to hit a six-month high in April, bringing some relief to the government gearing up to present the budget in July.

Retail inflation hit a seven-month high in May but remained within the RBI's comfort zone, providing room for further interest rate cuts in the next monetary policy meeting.

Industrial production grew 3.4 percent year-on-year in April, following a revised 0.4 percent rise in March. Output was forecast to grow moderately by 1.2 percent.

The consumer price index rose 3.05 percent year-on-year in May after a 2.99 percent increase in April, which was revised from 2.92 percent.

Meanwhile, India will be a major beneficiary of the fall in international crude oil prices in recent sessions.

U.S. crude futures fell further in Asian deals after ending down about 4 percent at $51.14 a barrel on Wednesday, the lowest settlement price since mid-January, 2019, after data from the Energy Information Administration (EIA) showed a jump in U.S. crude stockpiles for a second straight week.

Benchmark indexes Sensex and the Nifty fell around half a percent on Wednesday to snap a three-session winning streak while the rupee appreciated by 10 paise to close at 69.34 against the dollar.

Asian markets remain broadly lower this morning amid fading optimism over the U.S. and China striking a trade deal on the sidelines of Group of 20 summit meeting in Osaka on June 28-29.

The British pound is on the back foot after British lawmakers defeated an attempt led by the opposition Labour Party to try to block a no-deal Brexit by seizing control of the parliamentary agenda from the government.

Overnight, U.S. stocks fell for a second straight session as oil prices sank and government debt yields fell after the release of soft inflation data. The Dow and the S&P 500 slid around 0.2 percent while the tech-heavy Nasdaq Composite shed 0.4 percent.

European markets ended Wednesday's session lower as both ECB President Mario Draghi and IMF Managing Director Christine Lagarde warned about the global trade dispute.

Investors also reacted to news that the European Union is closer to taking disciplinary action over Italy's growing debt.

The pan European Stoxx 600 eased 0.3 percent. The German DAX slid 0.3 percent, the U.K.'s FTSE 100 gave up 0.4 percent and France's CAC 40 index declined 0.6 percent.

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