Indian stock markets ended largely range-bound on Thursday, August 6, as investors awaited greater clarity on a potential peace agreement in the Middle East before taking fresh positions. Weak performance from heavyweight stocks also kept the broader market under pressure.
The Nifty 50 edged up 0.05% to close at 24,636, while the Sensex gained 0.26% to settle at 78,785. The broader markets, however, ended mixed, with the Nifty Midcap 100 declining 0.44%, while the Nifty Smallcap 100 rose 0.48%.
Among the sectoral indices, Nifty PSU Bank, Chemicals, Oil & Gas, and Consumer Durables witnessed strong buying interest, while Realty, Media, Auto, and Metal stocks ended in the red.
The prospects of ending the five-month-long conflict between the US and Iran appeared to improve after reports suggested that Iran had entered the final stage of drafting an agreement with Oman on reopening the Strait of Hormuz, according to an AP report.
Meanwhile, US officials continued to express confidence that a deal with Iran was nearing. However, investors remained cautious over whether any agreement would lead to a lasting peace in the region.
On Wednesday, Iranian Foreign Ministry spokesperson Esmail Baqaei said discussions were progressing positively at both the technical and political levels.
According to Iran’s Fars News Agency, he added that the talks were focused on establishing safe shipping routes while safeguarding the sovereign rights and security interests of both Iran and Oman.
In the commodity market, crude oil prices stabilised after declining for three consecutive sessions, as improving prospects for a diplomatic breakthrough eased concerns over supply disruptions.
