- Indian markets opened subdued amidst rising crude oil.
- US-Iran tensions escalated crude oil, precious metal prices.
- Global markets rallied strongly on positive corporate earnings.
Indian benchmark indices opened on a subdued note on Wednesday as investors remained cautious amid a fresh rise in crude oil prices and escalating tensions between the United States and Iran.
The BSE Sensex rang the opening bell above 77k, crashing close to 400 points, while the NSE Nifty50 started trading around 24,100, bleeding nearly 100 points, as of 9:15 AM.
GIFT Nifty Signals Weak Opening
Ahead of the opening bell, GIFT Nifty was trading at 24,102, down 79 points, indicating a soft start for Indian benchmark indices.
At around 9:03 AM, the Sensex was trading at 77,475.85, up 5.74 points or 0.01 per cent. The Nifty slipped 99.65 points, or 0.41 per cent, to 24,087.40.
Investor sentiment remained restrained as higher crude oil prices and geopolitical uncertainty overshadowed positive global market cues. Market participants are also expected to track quarterly earnings announcements, commodity prices and institutional fund flows during the session.
Asian Markets Rally After Wall Street Gains
Most Asian markets traded firmly higher on Wednesday, taking cues from a strong overnight performance on Wall Street after better-than-expected earnings from major semiconductor companies boosted risk appetite.
Japan’s Nikkei 225 advanced 1.93 per cent, while South Korea’s Kospi surged 6.01 per cent in early trade.
US equities also ended higher overnight. The Dow Jones Industrial Average gained 0.74 per cent, the S&P 500 rose 0.89 per cent, and the Nasdaq Composite climbed 1.29 per cent, supported by optimism surrounding corporate earnings.
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Pharma Crashes More Than 1%
The Nifty Pharma bled over 1 per cent as markets opened to the possibility of more tariffs ahead on generic drugs imported to the US. The American President on Tuesday announced nil tax on these drugs for the first two years, followed by a 100 per cent tariff for the first year and 200 per cent thereafter.
This measure triggered a panic amongst investors, with Sun Pharma, one of the biggest Indian players in the American market, crashing over 1 per cent.
Oil Prices Climb
Crude oil prices moved higher on Wednesday morning after renewed geopolitical tensions in West Asia.
Investor concerns intensified after US President Donald Trump played down the possibility of negotiations with Iran, while Washington continued military strikes on Iranian targets.
Gold And Silver Extend Gains
Precious metals also witnessed fresh buying amid heightened geopolitical uncertainty.
Gold futures were trading 1.21 per cent higher, while silver futures gained 1.9 per cent in early trade as investors sought safe-haven assets.
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Q1 Earnings In Focus
Corporate earnings will remain one of the key drivers for markets during the session, with several companies scheduled to announce their June quarter (Q1 FY27) results.
Among the prominent companies reporting earnings today are Adani Green Energy, Adani Power, Bharat Petroleum Corporation (BPCL), Dr Reddy’s Laboratories, Hindustan Petroleum Corporation (HPCL), IndusInd Bank, JSW Energy, Nestlé India, Tata Communications, UCO Bank, United Spirits and UTI Asset Management Company.
Investors are expected to closely monitor these earnings for management commentary on demand trends, margins and the outlook for the remainder of FY27.
