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• Equity benchmark Nifty declined 95 points, or 0.4%, to close at 24,238, slipping below the 24,300 level amid profit booking as escalating geopolitical tensions between the US and Iran, coupled with crude oil prices surging to a one-month high of nearly $90 per barrel, weighed on investor sentiment. Market sentiment was further dampened by weaker-than-expected quarterly results from private sector banking majors HDFC Bank, Kotak Mahindra Bank, and Axis Bank, dragging the Bank Nifty down nearly 1%.

• However, the market recovered partially from its intraday low of 24,135 after Iran's Foreign Ministry stated that it had received proposals from mediators aimed at resolving the conflict with the US, easing concerns over further escalation.

• The Nifty 500 advance-decline ratio stood at 3:2, indicating continued buying interest in the broader market despite the weakness in benchmark indices. The Nifty PSU Bank Index emerged as the top-performing sector, led by gains in SBI, Union Bank, Punjab National Bank, Indian Bank, and Bank of Baroda following strong quarterly earnings from Indian Bank, Union Bank, and PNB. Meanwhile, the Nifty Pharma, FMCG, and Metal indices gained up to 1%.

• FMCG stocks witnessed renewed buying interest, supported by the improving monsoon outlook, which is expected to strengthen rural demand and consumption. Optimism over healthy quarterly earnings, driven by lower raw material costs, also boosted sentiment in the sector.

• Among global markets, Asian and European equities traded on a mixed note as investors remained cautious amid rising crude oil prices and renewed attacks across the Middle East. -442.93 (-0.57%)

Technical Outlook:

• Nifty index opened with a gap down and remained within a range of 100 points throughout the session as bulls defended its support zones at 24150 but failed to extend the buying momentum beyond 24250 levels. The range bound price action reflected a lack of follow up buying despite buying at support zones. It formed an inside bar along with a bullish spinning top candle on the daily timeframe. Now it has to cross and hold above 24250 for an up move towards 24400 then 24500 zones while support can be seen at 24100 and 24000 zones.

• S&P BSE Sensex index opened on a negative note and witnessed selling pressure in the first half of the session as it drifted lower towards 77400 zones but managed to hold the previous session’s low. Post that the index witnessed some recovery towards 77800 zones in the latter half. It formed a bearish candle with a longer lower shadow indicating some buying interest from lower levels and closed the session with losses of around 440 points. Now it has to cross and hold 77800 zones, for a bounce towards 78200 then 78500 marks while on the downside support are seen at 77300 and then 77000 zones.

Derivative Outlook:

• Nifty future closed negative with losses of 0.22% at 24269 levels. Positive setup seen in PNB, Torrent Pharma, Manappuram, Colpal, Solar Industries, Concor, REC, Ultratech, Shree Cement and NHPC while weakness seen in Axis Bank, HDFC Bank, AU Small Finance, Maruti, Yes Bank, LTF, Force Motors, Angel One, Idea and Bajaj Holdings.

• On option front, Maximum Call OI is at 24300 then 24500 strike while Maximum Put OI is at 24200 then 24100 strike. Call writing is seen at 24250 then 24300 strike while Put writing is seen at 24200 then 24150 strike. Option data suggests a broader trading range in between 23700 to 24700 zones while an immediate range between 24000 to 24500 levels.

• Turtlemint expects FY27 profit after tax despite seasonality-led quarterly volatility - Turtlemint Fintech Solutions Ltd, which turned profitable in its first earnings report postlisting, expects to end FY27 profitable despite some loss-making quarters, a top executive of the firm said. "FY27 is expected to be a profitable year. Last fiscal, at a consolidated level, we reported a loss of approximately Rs 184 crore. For FY27, we are targeting full-year profitability.

• Trent Plans Store Blitz to Spur Growth - The Tata Group’s Trent is aiming to expand its premium clothing brand Westside by opening as many as 100 new stores a year, double its current pace, to reinvigorate growth.

• Pace Digitek - Company’s subsidiary signed a strategic agreement with MEGMEET Electrical India to support AI data center power infrastructure opportunities in India.

• Belrise Industries - company allotted 7.73 crore equity shares at Rs 220 a sharee, aggregating Rs 1,700 crore, closing the qualified institutional placement.

• Mahindra Logistics - Company reported Q1 consolidated net profit of Rs 25.4 crore in Q1, compared with a loss of Rs 10.8 crore in the year-ago period. Revenue rose 23.3% yearon-year to Rs 2,003 crore from Rs 1,625 crore. EBITDA increased 49.3% to Rs 115 crore from Rs 77.1 crore, while EBITDA margin improved to 5.7% from 4.7% a year earlier.

• Can Fin Homes - Company told media Profit that loan delinquencies have declined despite the ongoing geopolitical tensions and related disruptions. The company expects loan disbursements of around Rs 13,000 crore in Q2 and said it remains on track to meet its borrowing targets for the quarter.

• Dynamic Cables - Company reported Q1 consolidated net profit of Rs 25 crore in Q1, up 37.4% from Rs 18.2 crore in the year-ago period. Revenue increased 33.2% year-on-year to Rs 349 crore from Rs 262 crore. EBITDA rose 39.1% to Rs 38.1 crore from Rs 27.4 crore, while EBITDA margin improved to 10.9% from 10.5% a year earlier.

• Godrej Agrovet Inaugurates Oil Palm Complex In Telangana - Company has inaugurated an oil palm complex in Telangana. The company said its cumulative investment in the facility stands at Rs 300 crore

Global Market Update

• European Market - European stocks retreated as Brent crude advanced after the US and Iran engaged in a quickening series of tit-for-tat attacks. Ryanair Holdings Plc fell 6.9% after the airline’s results were hit by rising oil prices and fare reductions.

• Asian Market - Asian energy shares follow oil higher after fresh attacks across the Middle East resulted in the US announcing the death of a third service member in the past two days. Both China and Hing Kong Index gained 2% each while South Korea Index declined over 4%.

• US Data - Leading Index.

• Commodity - Oil erased an earlier increase after Iran’s Foreign Ministry said it had received proposals from mediators regarding the war with the US. Brent futures traded near $88 a barrel after earlier surging above $91

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