GIFT Nifty rises 100 points, hints at positive start; key trading cues for today

Domestic markets ended higher on Tuesday, aided by gains in banking and financial stocks after the RBI unveiled a concessional forex swap facility aimed at easing overseas borrowings and improving foreign currency liquidity. Analysts say Indian markets are expected to stabilise in the near term amid talks of a truce between Israel and Iran and easing crude oil prices, which have improved overall market sentiment. However, the absence of a definitive resolution to geopolitical tensions, coupled with concerns over inflation, commodity price volatility and monsoon trends, may keep investors cautious and limit upside.

STATE OF THE MARKETS

Gift Nifty (Earlier SGX Nifty) signals a positive start.

Nifty futures on the Gift Nifty traded 100 pts higher at 23,284.

Tech View: Support is seen at 23,000–23,100, while resistance is placed at 23,350–23,400. A bullish confirmation would emerge only after Nifty reclaims its 20-day SMA and sustains above the 24,500 level.

India VIX: India VIX, which is a measure of the fear in the markets, fell 8% to settle at 15.58 levels.

Global Markets Watch

• S&P 500 futures fell 0.2% as of 9:01 a.m. Tokyo time
• Hang Seng futures fell 0.7%
• Japan’s Topix fell 0.3%
• Australia’s S&P/ASX 200 fell 0.1%
• Euro Stoxx 50 futures fell 0.3%
• China's Shanghai plunged xxx%

Forex News

• The euro was little changed at $1.1535
• The Japanese yen was little changed at 160.37 per dollar
• The offshore yuan was little changed at 6.7780 per dollar
• The Australian dollar fell 0.1% to $0.7022

US stocks drop
The S&P 500 and Nasdaq declined on Tuesday as an early rally in technology stocks lost momentum. Sentiment was also weighed down after President Donald Trump stated that the U.S. should respond to Iran after it allegedly shot down a U.S. Apache helicopter patrolling the Strait of Hormuz. In a social media post, Trump said the incident occurred overnight and warned of retaliation, raising further concerns about escalating tensions in the Middle East and weakening hopes for a ceasefire.
Hong Kong's Hang Seng fell xx%

Oil rises
Oil prices rose about 1% on Wednesday, recovering from a seven-week low hit in the previous session. The gains came after new U.S. military strikes on Iran and data showing a significant drawdown in U.S. crude inventories, both of which supported crude markets and offset recent weakness.

Stocks in F&O ban today

1) Amber Enterprises
2) Kaynes

Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit.

FII/DII action
Foreign portfolio investors net sold shares worth Rs 4,566 crore on Tuesday. DIIs, meanwhile, were net buyers at Rs 6,159 crore.

Rupee
The rupee appreciated 25 paise to close at 95.36 against the US dollar on Tuesday, as Brent crude oil prices and the US dollar index retreated from their elevated levels after a pause in US-Iran hostilities.

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