The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open on a negative note on Tuesday, 18 August.
Asian markets traded largely lower on Tuesday, meanwhile, US stock futures hovered around the flatline.
On Monday, the Indian benchmark indices, the Sensex and Nifty 50, closed lower, as investors remained focused on stock- and sector-specific opportunities amid better-than-expected Q1FY27 earnings and ongoing geopolitical uncertainties. The Sensex declined 281 points, or 0.36%, to end at 77,728.16, while the Nifty 50 slipped 78 points, or 0.32%, to settle at 24,287.65.
“Indian equity markets are expected to trade with a cautious bias as renewed strength in crude oil prices and persistent geopolitical uncertainty continue to weigh on investor sentiment. With no meaningful progress in resolving the U.S.–Iran conflict and U.S. President Donald Trump ruling out an extension of the 60-day temporary ceasefire arrangement, concerns over energy supplies remain firmly in focus. WTI crude is trading around the $84-per-barrel mark, keeping inflationary pressures and energy-related risks at the forefront for oil-importing economies such as India.
Global cues remain mixed. Wall Street ended lower overnight, while Asian markets are trading on a divergent note. Japan’s Nikkei 225 is down around 0.4% in early trade, whereas South Korea’s Kospi has rallied more than 3%, supported by strong gains in semiconductor and electronics stocks. Against this backdrop, GIFT Nifty futures are trading near the 24,300 mark, pointing to a largely flat opening for domestic equities compared with the Nifty’s previous close of 24,287,” said Ponmudi R, CEO of Enrich Money.
Here are key global market cues for Sensex today:
Asian markets
Asian equities traded on a mixed note in early Tuesday deals, with the MSCI Asia Pacific Index gaining 0.3%. South Korea’s Kospi climbed 2%, driven by a rally in chipmakers Samsung Electronics and SK Hynix, which rose 3% and 5%, respectively.
Japan’s Nikkei 225 remained in the red but recovered from its opening lows, while the Tokyo-listed TOPIX also bounced back into positive territory after a weak start. Meanwhile, Australia’s benchmark S&P/ASX 200 opened largely flat.
Gift Nifty today
Gift Nifty was trading around the 24,320 level, down nearly 72.70 points from the Nifty futures’ previous close, indicating a negative start for the Indian stock market indices.
Wall Street
US stock futures remained largely unchanged on Monday night after the major averages started the week lower, as ongoing tensions between the US and Iran, coupled with inflationary concerns, pushed Treasury yields higher.
Dow Jones Industrial Average futures slipped 25 points, while S&P 500 and Nasdaq-100 futures edged slightly lower.
The muted futures movement came after a weak session on Wall Street, with oil prices rising more than 2% amid uncertainty over the U.S.-Iran ceasefire, which expired on Monday.
Crude oil prices
Oil prices advanced on Tuesday as prospects of a deal to end the Middle East conflict appeared to weaken, with Iran signaling a more aggressive approach and the US rejecting an extension of the ceasefire. The developments intensified concerns over potential disruptions to energy supplies.
Brent crude futures gained 27 cents, or 0.3%, to $91.14 a barrel, after touching their highest level since July 30 in the previous session. U.S. West Texas Intermediate (WTI) crude rose 42 cents to $85.04 a barrel, following a more than 1% increase earlier in the session that lifted it to $85.37, its highest since July 31.
US-Iran war
Iran is preparing to adopt a “fully offensive” military stance as efforts to negotiate a lasting end to the conflict with the United States have stalled, a senior Iranian official was quoted as saying by Reuters on Monday. The development comes after Washington ruled out extending the temporary ceasefire.
Progress towards peace negotiations and the resumption of oil tanker movement through the strategically vital Strait of Hormuz has come to a standstill, raising fears that the conflict, which began with U.S. and Israeli strikes on Iran on February 28, could continue for longer.
Separately, Iran has been in talks with Oman over an agreement to manage the Strait of Hormuz and says the two sides are close to reaching a deal. However, U.S. President Donald Trump responded by threatening to bomb the Gulf nation, a longtime American security partner.
Despite the setbacks, there was a potential opening for diplomacy, with media reports suggesting that Trump had initiated back-channel talks with Iran’s Islamic Revolutionary Guard Corps.
Gold rate today
Gold prices climbed for a third consecutive session on Tuesday as concerns over a potential US interest rate hike next month diminished. Investors are now awaiting the minutes of the Federal Reserve’s latest meeting for further indications about the central bank’s monetary policy trajectory.
Spot gold gained 0.4% to $4,431.09 per ounce, while US gold futures for December delivery rose 0.3% to $4,487.70.
Gold’s recent rebound above the $4,000-per-ounce mark has been driven by renewed investor interest and a revival in central-bank purchases, particularly by China.
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