Indian shares on track for tepid open as US-Iran stalemate lifts oil prices
Indian shares were set for a subdued open on Monday, with investors remaining cautious after the benchmark indexes' longest weekly losing streak since 2020 as oil prices rose following a stalemate in US-Iran peace talks.
US President Donald Trump said he has rejected an Iranian proposal to reopen the Strait of Hormuz and end fighting, while Iran insisted on Sunday that only diplomacy can solve its conflict with the United States and Israel.
GIFT Nifty futures were at 23,111 points, as of 7:41 a.m. IST, indicating a muted start for the benchmark Nifty 50 index, which closed at 23,140.5 on Friday.
Brent crude futures climbed 1.5% to about $106 per barrel, while Asian markets were down 0.2%. [MKTS/GLOB]
Oil prices have been a focal point for markets since late February when US and Israel launched joint strikes on Iran, triggering a war in the Middle East.
India, which is world's third-largest crude importer, remains vulnerable to higher prices as they can stoke inflation, raise import bill, and drag corporate margins.
The Nifty 50 and BSE Sensex have slipped for seven consecutive sessions, losing nearly 6%, in one of their longest weekly losing streaks on record.
Foreign investors net sold Indian shares worth 36.94 billion rupees ($385.54 million) on Friday, per provisional data. They have offloaded $1.8 billion of shares so far in September, taking their year-to-date selling to $25.86 billion.
STOCKS TO WATCH
** Precision engineering company Aequs approves preferential issues of warrants of up to 6.5 billion rupees, including to promoter group, as it explores multiple opportunities across its aerospace and consumer
businesses.
** Augment India Holdings is likely to sell a 7.25% stake in Clean Max Enviro through a block deal, at a discount of 10% to current market price, CNBC-TV 18 reports.
($1 = 95.8125 Indian rupees)
