Opening Bell : Markets likely to make gap-up start amid hopes of US-Iran deal
Indian equity markets are likely to make a gap-up opening on Monday, supported by strong global cues as signs of the US-Iran peace deal sent crude oil prices lower, easing inflation concerns. Meanwhile, exchange data showed that foreign institutional investors (FIIs) offloaded equities worth Rs 4,440.47 crore on Friday.
Some of the key factors to be watched:
India, US looking at firming up trade deal soon: US Secretary of State Marco Rubio has said that India and the US are poised to soon firm up the much-awaited trade agreement that will be both beneficial and sustainable and will advance the mutual interests of both nations.
India in better position to manage retail inflation, RBI must hold rates: ASSOCHAM has said that India is better placed to manage retail inflation among the top 10 economies, amidst the ongoing disruptions caused by the West Asia conflict. It further suggested the RBI to maintain the status quo on the repo rate.
Goyal to visit Canada to boost FTA talks, investments: Commerce and Industry Minister Piyush Goyal said he will lead a business delegation of over 150 members to Canada on May 25-27 to seek investments, enhance collaborations and give impetus to talks for the proposed free trade agreement (FTA).
India’s near-term outlook somewhat clouded by supply-side pressures: RBI Bulletin has said that India's near-term outlook is somewhat clouded by supply-side pressures, and the spillover impact of the West Asia conflict on domestic inflation needs to be monitored.
India forex reserves drop $8 billion to $688.89 billion: The Reserve Bank of India (RBI) said India's forex reserves dropped $8.09 billion to $688.89 billion during the week ended May 15.
Global front: The US markets ended higher on Friday, as the US and Iran moved closer to a deal that would reopen the Strait of Hormuz. Asian markets are trading in green on Monday, following the broadly positive from Wall Street on Friday.
Back home, Indian equity benchmarks erased some of their initial gains but managed to end higher on Friday, helped by buying in blue-chip bank shares and a rally in global peers. Hopes of progress in the US-Iran peace negotiations also added to markets' optimism. However, gains remained capped as exchange data showed Foreign Institutional Investors (FIIs) emerged as net sellers for the third straight trading day and offloaded their stake worth Rs. 1,891.21 crore on Thursday. Finally, the BSE Sensex rose 231.99 points or 0.31% to 75,415.35 and the CNX Nifty was up by 64.60 points or 0.27% to 23,719.30.
Some of the important factors in trade:
India-US trade deal likely be finalised in coming weeks, months: Expressing confidence over India-US trade deal, which is likely to be finalised in coming weeks or months, US Ambassador Sergio Gor has said that the US is looking forward to sealing the proposed bilateral trade agreement with India.
Investment commitments from US estimated to be upwards of $60 billion in last six months: Commerce and Industry Minister Piyush Goyal has said that India and the US are working as natural partners and complement each other across sectors including technology innovation, high precision defence, digital data centres, quantum computing and medical devices.
Overseas investments by Indian firms dip 10.81% in April 2026: The Reserve Bank of India’s (RBI) report has showed that India's outward foreign direct investment (OFDI) commitments declined by 10.81% to $5644.38 million in April 2026 as against $6,328.51 million in April 2025, as lower loan and guarantee commitments outweighed a sharp rise in outbound equity investments by Indian companies.
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