Indian shares set for higher open as oil eases
Indian shares were set to open higher on Thursday, as oil prices slid on expectations that talks between Iran and Qatar may open the key Strait of Hormuz, while a strong earnings report from Nvidia buoyed other Asian markets.
GIFT Nifty futures were at 24,360.50 points, as of 8:12 a.m. IST, indicating a positive start for the Nifty 50, which closed at 24,207.75 on Wednesday.
Benchmark Brent fell 0.5% to $87.50 a barrel after Iran said it was working with Oman to finalise details of an agreement concerning the Strait of Hormuz, easing concerns over prolonged oil supply disruptions from the Middle East conflict. [O/R]
The MSCI's broadest index of Asia-Pacific shares excluding Japan rose 0.7%, led by technology stocks. Nvidia reported quarterly revenue that more than doubled and forecast third-quarter revenue above Wall Street expectations, boosting sentiment in the sector.
Still, the broader global backdrop remains mixed. Annual U.S. inflation held steady in July, remaining above the Federal Reserve's 2% target for a 65th consecutive month, likely adding to debate over the central bank's next policy move.
Domestic benchmarks Nifty and Sensex fell 0.5% and 0.2% on Wednesday, dragged by IT and Reliance, while selling accelerated during the closing auction. [.BO]
"The Sensex monthly expiry on Thursday is also expected to bring additional position adjustments and could amplify price moves towards the final hour, making the opening trend less reliable as a guide to the eventual close," said Hariselvan Radhakrishnan, founder and CEO of HST Wealth.
Foreign portfolio investors remained net buyers in Indian markets for the third straight session on Wednesday, with net purchases of 5.03 billion rupees ($52.72 million). Domestic institutional investors bought shares worth 64.25 billion rupees, according to the NSE's provisional data.
Overall, overseas investors have bought Indian stocks worth $2.85 billion in August so far, the highest since September 2024, according to data from the National Securities Depository.
STOCKS TO WATCH
** Bharat Electronics receives orders worth 7.30 billion rupees since August 10
** Juniper Green Energy posts a 54% year-on-year rise in June quarter profit
** Titagarh Rail Systems signs a non-binding deal with Siemens to explore global metro projects
($1 = 95.4100 Indian rupees)
