- Indian benchmarks opened firm, driven by positive global cues.
- Asian markets rallied on strong US semiconductor outlook.
- Mideast tensions eased; crude oil and metals declined.
Indian equity benchmarks opened on a firm note on Thursday, with the Sensex trading at 77,49, up 358 points, while the Nifty stood at 24,143, gaining 121 points at 9:15 AM.
Market sentiment remained supported by positive global cues, a rally across Asian markets and continued weakness in crude oil prices. Investors also tracked easing geopolitical tensions in the Middle East and developments surrounding a proposed trade agreement between India and the United States.
GIFT Nifty Points To Positive Start
GIFT Nifty indicated a positive opening for domestic equities amid a broad rally in Asian stocks.
At around 7:55 AM, GIFT Nifty was trading at 24,106, up 83 points or 0.35 per cent, pointing to a firm start for Indian markets after benchmark indices rebounded more than 1 per cent in the previous session.
On June 24, the Sensex climbed 790.54 points, or 1.04 per cent, to close at 76,991.22, while the Nifty rose 197.55 points, or 0.83 per cent, to settle above the 24,000 mark at 24,021.65.
Early Trade Signals Strength In Pre-open
The positive trend was visible during the pre-open session.
At around 9:02 AM, the Sensex was trading at 77,202.32, up 211.10 points or 0.27 per cent. The Nifty advanced 114.55 points, or 0.48 per cent, to 24,136.
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Asian Stocks Rally On Strong Semiconductor Outlook
Most Asia-Pacific markets traded higher after US semiconductor company Micron reported better-than-expected third-quarter results and projected stronger revenue for the current quarter.
Japan’s Nikkei 225 rose 3.37 per cent, while South Korea’s Kospi gained 4.89 per cent.
The upbeat earnings outlook from the semiconductor sector helped improve sentiment across regional markets.
Wall Street Mixed, Tech Outlook Lifts Futures
US futures traded higher during Asian hours, with S&P 500 futures up 1.68 per cent and Nasdaq 100 futures rising 0.48 per cent.
Overnight on Wall Street, the Nasdaq Composite fell 0.43 per cent and the S&P 500 declined 0.10 per cent. The Dow Jones Industrial Average ended 0.35 per cent higher.
Investors remained cautious about elevated technology valuations and the outlook for US interest rates.
However, sentiment improved after the closing bell as Micron Technology projected quarterly revenue above Wall Street expectations, indicating continued demand for AI-related memory chips. Qualcomm also forecast strong long-term growth in its data centre business, helping revive confidence in AI infrastructure spending.
Easing Middle East Tensions Boost Risk Appetite
Market sentiment improved as crude oil prices declined and concerns surrounding the situation between the United States and Iran eased.
The possibility of uninterrupted energy flows through the Strait of Hormuz also supported investor confidence.
A senior US official said the United States and India are very close to concluding a historic bilateral trade agreement that would open the 1.4 billion-strong Indian market to American goods on reciprocal and mutually beneficial terms.
Easing geopolitical tensions in the Middle East and lower crude prices helped restore risk appetite and encouraged broader market participation.
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Oil Extends Decline; Precious Metals Slip
Brent crude prices extended their decline as the near-term supply outlook improved and tankers continued to exit the Strait of Hormuz.
The June Brent futures contract traded at $72.68 per barrel on the Intercontinental Exchange, down 1.44 per cent.
US West Texas Intermediate crude traded near $70 per barrel as shipping traffic through the Strait of Hormuz continued to normalise following progress in the US-Iran peace process.
Oil prices have now erased nearly all of the gains recorded during the recent Middle East conflict, easing concerns over inflation and India’s import bill.
Meanwhile, gold futures were down 0.24 per cent, while silver futures declined 1.63 per cent.
Investors will monitor movements in crude oil prices, developments surrounding the US-Iran situation and progress on the proposed India-US trade agreement during the session.
Market participants are also tracking global technology sentiment following upbeat guidance from semiconductor companies, alongside gains in Asian markets and trends in US futures.
