Nifty May Open Flat Amid Global Headwinds, Wall Street Tumbles Sharply

Domestic Institutional Investors (DIIs) continued their buying spree for the 19th straight session. On June 13, DIIs made net purchases worth Rs 2,906.13 crore, while Foreign Institutional Investors (FIIs) pulled out Rs 1,233.47 crore from Indian equities.

Pre-Market Update at 8:00 AM: Indian stock markets are expected to begin Monday’s session on a cautious note, following global market weakness. As of 7:16 AM, the GIFT Nifty stood at 24,777, up by 39 points from the previous close, hinting at a muted opening for the Nifty 50.

Asian equity indices opened in positive territory, while U.S. stock futures showed minor gains after a significant pullback last week on Wall Street. Investors will keep a close watch on developments in the Middle East, particularly the rising tensions between Israel and Iran. Other key market triggers this week include the U.S. Federal Reserve’s policy decision, fluctuations in crude oil prices, foreign capital movement, and major global and domestic economic cues.

Domestic Institutional Investors (DIIs) continued their buying spree for the 19th straight session. On June 13, DIIs made net purchases worth Rs 2,906.13 crore, while Foreign Institutional Investors (FIIs) pulled out Rs 1,233.47 crore from Indian equities.

Benchmark indices ended lower for the second consecutive day on Friday, impacted by geopolitical concerns. The Sensex lost 573.38 points (0.70 per cent) to close at 81,118.60. The Nifty 50 dropped by 169.60 points (0.68 per cent) to finish at 24,718.60.

Asian shares were trading in the green on Monday, ahead of key data releases from China. However, market sentiment remains fragile due to the intensifying conflict between Israel and Iran.

The Israel-Iran conflict escalated further over the weekend. Israel claimed to have intercepted a fresh missile barrage from Iran. Simultaneously, Iran reported that Israeli airstrikes had targeted its oil facilities and killed top officials, including the intelligence head of the Revolutionary Guard. The Israeli military also confirmed conducting major strikes on strategic targets in Iran.

U.S. markets ended Friday in negative territory, dragged down by tech and financial stocks. The Dow Jones Industrial Average fell 1.79 per cent to 42,197.79, while the S&P 500 slipped 1.13 per cent to 5,976.97. The Nasdaq Composite declined by 1.30 per cent, settling at 19,406.83. On a weekly basis, the Dow was down 1.3 per cent, the S&P 500 fell 0.4 per cent, and the Nasdaq slipped 0.6 per cent.

Crude prices continued their rally on supply disruption concerns amid renewed conflict in the Middle East. Brent crude rose 0.24 per cent to USD 74.41 per barrel, and WTI crude increased 0.37 per cent to USD 73.25.

Gold prices advanced further, driven by demand for safe-haven assets. Spot gold gained 0.4 per cent to reach USD 3,447.07 per ounce, touching its highest level since April 22 earlier in the session.

For today, Aditya Birla Fashion and Retail, Birlasoft, Central Depository Services (India), Chambal Fertilisers and Chemicals, Housing and Urban Development Corp, Indian Energy Exchange, Indian Renewable Energy Dev Agency, Manappuram Finance, RBL Bank and Titagarh Rail Systems Ltd continue to remain under the F&O ban list.

Disclaimer: The article is for informational purposes only and not investment advice.