The domestic equity indices, Sensex and Nifty 50, are likely to open higher on Thursday as positive overnight global cues lift investor sentiment.

Asian markets advanced, and US stocks surged overnight on trade deal reports, pushing the Nasdaq and S&P 500 to fresh record highs.

However, on Wednesday, Indian markets ended sharply higher, fueled by strong gains in index heavyweights, with the Nifty 50 closing above the 25,200 mark.

Domestic Market Recap

On Wednesday, Indian indices closed in the green:

• Sensex soared by 539.83 points (0.66%) to close at 82,726.64
• Nifty 50 moved up by 159 points (0.63%) to settle at 25,219.90

Gift Nifty

Gift Nifty was trading near 25,297, around 44 points higher than the previous Nifty futures close, hinting at a positive start for Indian markets.

Wall Street Performance

The US stock market closed higher on Wednesday as optimism over a trade deal with the European Union boosted investor sentiment, pushing the S&P 500 and Nasdaq to fresh record highs.

• Dow Jones Industrial Average surged by 507.85 points (1.14%) to close at 45,010.29.
• S&P 500 up by 49.29 points (0.78%), ending at 6,358.91.
• The Nasdaq Composite was trading higher by 127.33 points (0.61%), finishing at 21,020.02.

Gold Prices

• Spot gold was trading up by 0.1% at $3,389.77/oz 

Crude Oil Prices

Crude oil prices stabilised following the announcement of the US-Japan trade deal and industry data indicating a decline in US crude inventories last week.

• Brent crude surged by 0.31% to $68.72/barrel
• US West Texas Intermediate (WTI) crude: 0.35% to $65.48/barrel

Overnight Major Global Events Driving Sentiment

1. US Home Sales: US home resales declined more than anticipated in June, falling 2.7% to a seasonally adjusted annual rate of 3.93 million units. On a year-over-year basis, sales remained unchanged in June.
2. Japan PMI: Japan’s private sector activity remained mixed in July. The S&P Global Composite PMI stayed steady at 51.5, the same as in June. However, the Manufacturing PMI slipped to 48.8 from 50.1, signalling contraction, while the Services PMI rose to 53.5 from 51.7, indicating improved expansion in the services sector.
3. Infosys Q1 Results: Infosys reported a 1.6% sequential drop in net profit for Q1FY26, which stood at Rs 6,920 crore. The company’s revenue rose 3.3% quarter-on-quarter to Rs 42,279 crore, with constant currency revenue growing by 2.6%. EBIT increased 2.66% to Rs 8,803 crore, though EBIT margin declined slightly to 20.8% from 21%. The company revised its FY26 revenue growth guidance in constant currency terms to 1–3%, up from its earlier forecast of 0–3%, while maintaining its margin projection at 20–22%.
4. Tesla Q2 Results: Tesla posted a 16% year-over-year decline in net profit for Q2, with earnings dropping to $1.17 billion, or 33 cents per share, from $1.4 billion, or 40 cents per share. Revenue dipped to $22.5 billion from $25.5 billion a year ago, missing analyst estimates compiled by LSEG. Adjusted earnings per share came in at 40 cents, below Wall Street expectations. The company’s automotive gross margin, excluding regulatory credits, stood at 14.96%. Tesla shares fell 4.44% in after-hours trading.
5. Alphabet Q2 Results: Alphabet Inc., Google’s parent company, reported a 19% year-over-year jump in Q2 net profit, which rose to $28.2 billion, or $2.31 per share. Revenue climbed 14% to $96.4 billion, surpassing analyst forecasts. Shares of Alphabet gained nearly 2% in after-market trading.

Tired of missing hot stocks? Unicorn Signals provides powerful tools like stock scans and more help you make informed trading decisions. Download now and take control of your portfolio!