- Indian equity markets opened higher amid mixed global cues.
- RBI’s monetary policy decision and GDP data are key events.
- US-Iran negotiations and West Asia tensions influence markets.
Indian equity benchmarks started the new week on a firm note, with the Sensex and Nifty indicating gains in the pre-open session despite mixed global cues and lingering uncertainty around the US-Iran negotiations.
The BSE Sensex rang the opening bell near 75,100, rallying more than 300 points, while the NSE Nifty50 opened trading a little over 23,600, climbing close to 100 points, as of 9:15 AM.
GIFT Nifty Remains Flat
The GIFT Nifty traded flat near 23,750 this morning. However, At around 9:06 AM, the Sensex was up 546.40 points, or 0.73 per cent, at 75,322.14, while the Nifty advanced 106.75 points, or 0.45 per cent, to 23,654.50.
The positive opening comes ahead of a crucial week packed with domestic and global triggers, including the Reserve Bank of India’s monetary policy decision, key macroeconomic data releases, crude oil movements, and developments in West Asia.
RBI Policy Decision Takes Centre Stage
The Reserve Bank of India’s Monetary Policy Committee (MPC) meeting is expected to be the most closely watched domestic event this week.
Investors will look for cues on the central bank’s assessment of inflation, liquidity conditions, interest rates, and economic growth. Market participants are also expected to closely analyse the RBI’s commentary for indications on the future policy trajectory amid evolving global and domestic challenges.
Apart from the policy outcome on Friday, traders will monitor India’s GDP data, foreign exchange reserves, and purchasing managers’ index (PMI) readings for fresh insights into economic momentum.
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US-Iran Developments Remain Key Market Trigger
Global sentiment continues to be influenced by diplomatic developments involving the United States and Iran.
US President Donald Trump recently stated that Washington is seeking a long-term agreement under which Iran would never acquire nuclear weapons. However, he also indicated that the US administration is not looking to rush negotiations, suggesting that discussions could take time before reaching a meaningful conclusion.
The absence of a clear breakthrough has kept investors cautious, as any progress or setback in negotiations could significantly influence global risk appetite and commodity prices.
Crude Oil Climbs
Oil prices remained elevated at the start of the week as geopolitical concerns resurfaced in West Asia.
Brent crude futures rose more than 2 per cent to trade around $93 per barrel, supported by reports of escalating tensions after Israel ordered its military to expand operations in Lebanon.
For India, crude oil remains a crucial variable, as sustained increases in energy prices can impact inflation, the rupee, and corporate earnings.
Asian Markets Mixed Despite South Korea Rally
Equity markets across the Asia-Pacific region traded on a mixed note on Monday.
South Korea’s Kospi surged nearly 4 per cent to a fresh record high, extending gains seen in global markets at the end of last week. Japan’s Nikkei 225 also traded higher, while Australia’s benchmark index slipped modestly.
The mixed performance reflects investors’ cautious approach as they balance optimism around global growth with geopolitical and policy-related uncertainties.
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Wall Street Ends Higher
US equities closed in positive territory on Friday, providing some support to risk sentiment.
The Dow Jones Industrial Average gained 0.72 per cent, while the S&P 500 and Nasdaq Composite ended with modest advances. The gains came despite ongoing concerns surrounding geopolitical developments and inflation.
Gold, Silver Ease Ahead Of Key Events
Precious metals traded lower in early deals as investors booked profits and shifted focus towards upcoming economic events.
Gold futures declined around 0.8 per cent, while silver futures also edged lower. Market participants are awaiting greater clarity on global interest rate expectations and geopolitical developments before taking fresh positions.
