The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to open on a flat note on Wednesday, 12 August, amid mixed global cues.
The Gift Nifty also indicated a muted start for the domestic benchmark indices. The Gift Nifty was trading around 24,550.5, a premium of 10 points over the previous close of Nifty futures.
On Tuesday, the Indian stock market ended lower, with the Nifty 50 closing below the 24,500 mark. The Sensex declined 388.19 points, or 0.49%, to settle at 78,154.25, while the Nifty 50 fell 112.10 points, or 0.46%, to close at 24,471.70.
Crude Oil Prices
Oil prices climbed on Wednesday as uncertainty over a potential US-Iran peace agreement increased, while attacks on two vessels raised concerns over possible disruptions to oil supplies from the Middle East. The gains came despite industry data pointing to a rise in US crude inventories.
Brent crude futures rose 72 cents, or 0.81%, to $89.63 a barrel, while US West Texas Intermediate (WTI) crude futures advanced 71 cents, or 0.85%, to $83.91 a barrel.
Both benchmarks ended more than $1 higher in the previous session, reaching their highest closing levels since July 31. The gains followed a nearly 5% surge on Monday as optimism over a potential peace agreement between the US and Iran weakened.
US-Iran War
The United States and Iran-aligned Houthi forces in Yemen reported separate attacks on shipping vessels in the Strait of Hormuz and the Bab el-Mandeb Strait on Tuesday, adding to concerns over the security of key oil supply routes.
Meanwhile, Iran’s top security official, Mohsen Rezaei, said the strategically important Strait of Hormuz would remain closed until Washington agreed to Tehran’s conditions for ending the war. These demands include the unfreezing of Iranian assets and an end to other conflicts across the region.
What Gift Nifty live chart signals?
The Gift Nifty Live Chart shows a flat start for the Indian stock market today. By 8:08 AM, the Gift Nifty was trading around the 24,563 level, a premium of 22.5 points from the Nifty futures’ previous close of 24,540.50.
Ponmudi R, CEO of Enrich Money, said, Indian equity markets are expected to trade with a cautious undertone as persistent uncertainty surrounding the U.S.-Iran negotiations continues to weigh on investor sentiment. Overnight cues from Wall Street were subdued, with the S&P 500 and Dow Jones Industrial Average each declining about 0.3%, while the Nasdaq Composite slipped 0.6%, as investors turned cautious ahead of Wednesday’s U.S. consumer price inflation data and amid the continuing stalemate between Washington and Tehran over the reopening of the Strait of Hormuz.
Reflecting the mixed global backdrop, GIFT Nifty futures are trading just above the 24,500 mark, compared with the Nifty’s previous close of 24,471, indicating a flat-to-mildly positive start for domestic equities.
Asian markets are trading mixed, with Japan’s Nikkei 225 edging marginally lower, while South Korea’s Kospi is up more than 2% in early trade, providing some support to regional sentiment. Even so, elevated crude oil prices, lingering geopolitical uncertainty, and mixed global cues are likely to keep investors cautious.
Stock market today
Speaking on the outlook for the Nifty 50 today, Ajit Mishra, Senior Vice President, Research at Religare Broking, said the Nifty 50 is approaching its crucial long-term moving-average support, with the 200 DEMA currently placed around 24,350. A sustained break below this level could extend the correction towards 24,100–24,000. On the upside, 24,600 is likely to act as the immediate hurdle, followed by the 24,800–25,000 zone.
On the outlook for the Bank Nifty today, Ponmudi R, CEO of Enrich Money, believes Bank Nifty is expected to stay cautious, having recently broken down below its 20-day EMA amid continued selling pressure. The 57,500–57,600 zone now stands as the immediate resistance. A sustained recovery above 57,600 would help the index regain momentum and move towards the 58,000 mark.
On the downside, 57,200 remains the immediate support, and a decisive break below this level could expose the index to the 57,000–56,800 region.
Stocks to buy today
Regarding stocks to buy today, market experts — Sumeet Bagadia of Choice Broking, Ganesh Dongre, and Senior Manager — Technical Research at Anand Rathi, recommended these eight buy-or-sell stocks for intraday trading: Ather Energy Ltd, Anthem Biosciences Ltd, Jindal Steel Ltd, Motilal Oswal Financial Services Ltd, Oberoi Realty Ltd, GE Vernova T&D India Ltd, Pine Labs Ltd, and Dynamic Cables Ltd.
Sumeet Bagadia’s stock recommendations today
Buy Ather Energy in cash at ₹1,525; SL at ₹1,470; TGT at ₹1,630
Buy Anthem Biosciences in cash at ₹892; SL at ₹860; TGT at ₹955
Ganesh Dongre’s buy or sell stocks
Buy Jindal Steel at ₹1,095; sl at ₹1,070; tgt at ₹1,130
Buy Motilal Oswal Financial Services at ₹888; sl at ₹865; tgt at ₹925
Buy Oberoi Realty at ₹1,795; sl at ₹1,750; tgt at ₹1,860
Shiju Koothupalakkal’s intraday stocks for today
Buy GE Vernova T&D India cmp: ₹4,420; Target: ₹4,700; Stop loss: ₹4,280
Buy Pine Labs cmp: ₹167; Target: ₹180; Stop loss: ₹163
Buy Dynamic Cables cmp: ₹441; Target: ₹465; Stop loss: ₹430
Disclaimer: The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
