The Indian stock market benchmark indices, BSE Sensex and Nifty 50, are set to open lower on Thursday after investor overnight global sentiment weakened when US President Donald Trump said in an address that US forces would strike Iran “very hard” over the next two to three weeks.

Despite this, Asian markets traded higher, and the US stock market closed with gains overnight, driven by a rally in heavyweight index stocks.

However, on Wednesday, the Indian stock market broke its two-day losing streak and finished with strong gains.

Domestic Market Recap

On Wednesday, Indian indices closed green:

• Sensex soared by 1,186.77 points (1.65%) to close at 73,134.32
• Nifty 50 moved up by 348.00 points (1.56%) to settle at 22,679.40

Gift Nifty

Gift Nifty was trading near 22,500, around 300 points lower than the previous Nifty futures close, hinting at a negative start for Indian markets.

Overnight Wall Street Performance

The US stock market closed higher on Wednesday, with gains led by index heavyweights, after US President Donald Trump indicated that the Iran war could soon come to an end.

• The Dow Jones Industrial Average gained by 224.23 points (0.48%) to close at 46,565.74.
• S&P 500 up by 46.80 points (0.72%), ending at 6,575.32.
• The Nasdaq Composite was higher by 250.32 points (1.16%), finishing at 21,840.95.

Crude Oil Prices

• Brent crude gained by 1.45% to $103.00/barrel
• US West Texas Intermediate (WTI) crude was trading 0.91% higher at $101.34/barrel

Overnight Major Global Events Driving Sentiment

1. Trump Speech: US President Donald Trump said on Wednesday that the US would strike Iran very hard over the next two to three weeks. In a televised address outlining the latest war developments, he added that US forces would soon “finish the job” as core strategic objectives near completion.
2. Japanese Bond Yields: Japan’s 10-year government bond yield increased, with the 10-year Japanese Government Bond yield rising 1 basis point to 2.310% after three consecutive sessions of decline, while the five-year yield climbed 1.5 basis points to 1.745%.

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