Sensex and Nifty 50 are likely to start Thursday’s session cautiously as overnight global markets offered mixed signals. While Asian markets traded in a mixed range, US equities declined overnight following the release of US inflation data.

However, on Wednesday, Indian markets posted modest gains, with the Nifty 50 closing above the 25,100 mark.

Domestic Market Recap

On Wednesday, Indian indices closed in the green:

• Sensex gained by 123.42 points (0.15%) to close at 82,515.14
• Nifty 50 moved up by 37.15 points (0.15%) to settle at 25,141.40

Gift Nifty

Gift Nifty was trading near 25,191, around 20 points lower than the previous Nifty futures close, hinting at a negative start for Indian markets.

Wall Street Performance

US stocks closed lower on Wednesday as rising tensions in the Middle East and uncertainty surrounding the China-U.S. trade talks kept investors on edge. The Dow Jones Industrial Average closed nearly unchanged at 42,865.77, while the S&P 500 slipped 0.27% to 6,022.24, and the Nasdaq declined 0.50% to finish at 19,615.88.

Crude Oil Prices

• Brent crude gained by 0.1% to $69.84/barrel
• US West Texas Intermediate (WTI) crude: 0.16% to $68.26/barrel

Gold Prices

• Spot gold gained by 0.3% to $3,364.10/oz 
• US gold futures up by 1.2% to $3,384.40

Overnight Major Global Events Driving Sentiment

1. Iran-Iraq Tensions: US President Donald Trump announced the relocation of American personnel from the Middle East, warning that the region “could be a dangerous place.” He emphasized that the US would not permit Iran to develop a nuclear weapon, according to Reuters.
2. Japan Business Sentiment: Japanese business sentiment deteriorated in the April–June quarter for the first time in five quarters. A key index tracking confidence among large firms dropped to -1.9, compared to 2.0 in the previous quarter (January–March).
3. US Inflation: US consumer prices rose more slowly than anticipated in May. The Consumer Price Index (CPI) edged up 0.1% after a 0.2% increase in April. On a year-over-year basis, CPI climbed 2.4% through May, following a 2.3% rise in April. Economists surveyed by Reuters had predicted a 0.2% monthly gain and a 2.5% annual increase.
4. US-China Trade Deal: President Donald Trump declared that the US-China trade deal was “done” just hours after negotiators from both countries reached a framework to restart the trade truce. “We are getting a total of 55% tariffs, China is getting 10%,” Trump said.

Ready to invest like a pro? Unicorn Signals app equips you with 100+ Free tools and knowledge you need to succeed. Download the Unicorn Signals app and gain access to daily stock lists and insightful market analysis and much more!