Quote on Daily Market Commentary for June 18th 2026 by Siddhartha Khemka - Head of Research, Motilal Oswal Financial Services Ltd
Below the Quote on Daily Market Commentary for June 18th 2026 by Siddhartha Khemka - Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd
Indian equities are expected to sustain their positive bias and continue their gradual uptrend in anticipation of US-Iran MoU being formally signed on Friday, while lower crude oil prices could further ease geopolitical concerns and bolster investor confidence. Domestic markets remained resilient on Wednesday, with the Nifty closing with gains of 82 points at 24,168 (+0.3%). Investor sentiment continued to be supported by lower crude oil prices (US$78/bbl), a stable rupee (94.3/USD) and optimism surrounding the potential US-Iran agreement. Following the US Federal Reserve's decision to keep policy rates unchanged at 3.5%-3.75%, improving foreign institutional investor participation and lower market volatility, supported investors’ confidence. Broader markets outperformed benchmark indices, with the Nifty Midcap 100 and Nifty Smallcap 100 advancing 0.4% each. Sectorally, Healthcare, Cement and Realty emerged as the top gainers, while Nifty IT (-1.2%) was the top laggards. Meanwhile, developments on the trade front remain encouraging for India. At the recently concluded G7 Summit, India and US reaffirmed their commitment to conclude a bilateral trade agreement at the earliest, with negotiations reportedly entering an advanced stage. In another positive development, European Commission President indicated that the India-EU Free Trade Agreement is expected to be concluded by the end of 2026. Further strengthening India's trade outlook, the India-UK Free Trade Agreement is set to come into force from 15 July, providing significant tariff benefits across key export-oriented sectors, including textiles, apparel, leather, gems & jewellery, pharmaceuticals, engineering goods, chemicals and auto components. Collectively, these developments are expected to enhance India's export competitiveness, strengthen bilateral trade flows, attract investments and create new opportunities for export-oriented industries over the medium term. Overall, a combination of easing geopolitical risks, improving foreign capital flows and progress on key trade agreements is expected to support market sentiment and sustain the positive momentum in Indian equities.
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