Global markets head into the new day with commodity currencies in the lead.

Indian share markets are trading higher with the Sensex trading 733 points higher, and the Nifty is trading 239 points higher.

Davos brought a de-escalation in geopolitical and tariff risk, and the dollar can enjoy a bit more support from here, in our view, as focus shifts to a supportive macro picture.

The markets reacted to the latest tariff risks, pressuring the major dollar pairs in the process.