Pre-Market Update: GIFT Nifty Up 30 Points; Nifty 50 Likely to See Muted Start on July 15

Indian benchmark indices, Sensex and Nifty 50, are expected to open on a muted note on Wednesday, July 15, despite positive global cues. Investor sentiment remains cautious amid escalating tensions between the U.S. and Iran, even as softer U.S. inflation data and strong corporate earnings supported global equities.

At around 7:37 AM, GIFT Nifty was trading near 24,044, about 30 points above the previous close of Nifty futures, indicating a flat-to-positive opening for the domestic market.

Geopolitical tensions continue to dominate investor sentiment after U.S. President Donald Trump reimposed a naval blockade on all Iranian ports and warned of strikes on Iranian power plants and bridges if Tehran does not return to negotiations. The U.S. military also carried out a fourth consecutive day of attacks on Iran, while Iran announced the closure of the Strait of Hormuz once again following renewed hostilities.

U.S. consumer inflation cooled more than expected in June, boosting expectations that inflationary pressures may be easing. The Consumer Price Index (CPI) increased 3.5 per cent year-on-year compared with 4.2 per cent in May. On a monthly basis, CPI declined 0.4 per cent after rising 0.5 per cent in the previous month. Economists surveyed by Reuters had expected annual inflation of 3.8 per cent and a monthly decline of 0.1 per cent.

Gold prices remained largely steady after the softer U.S. inflation reading strengthened market sentiment. Spot gold traded at USD 4,054.36 per ounce, while silver edged 0.2 per cent higher to USD 58.80 per ounce.

Crude oil prices moved higher after the renewed blockade on Iranian ports raised concerns over global supply. Brent crude advanced 1.72 per cent to USD 86.19 per barrel, while WTI crude gained 1.4 per cent to USD 80.40 per barrel.

From a derivatives perspective, the Put-Call Ratio (PCR) for the July series stood at 0.86. On the put side, fresh open interest addition was seen at the 23,300 strike, while the highest open interest remained concentrated at the 23,000 and 24,000 strike prices. On the call side, the highest open interest addition as well as the highest overall open interest was concentrated at the 24,000 strike, indicating a key resistance level.

The Nifty 50 ended Tuesday's session at 24,052. Immediate resistance is placed in the 24,129-24,211 zone, while support is seen between 24,027 and 23,944. Technically, the index formed a small-bodied bearish candle with a long upper shadow, reflecting selling pressure at higher levels. Although Nifty 50 continues to trade above its 20-day and 50-day exponential moving averages (EMAs), it remains below the 10-day and 100-day EMAs, suggesting caution in the near term. The Relative Strength Index (RSI) slipped to 51.67 with a negative crossover, indicating weakening momentum while remaining in neutral territory. Meanwhile, the MACD remained largely flat, pointing to continued consolidation. A sustained move above 24,211 could trigger fresh buying interest, while a break below the 24,027-23,995 support zone may accelerate selling towards 23,944.

Stock-specific action is likely to remain active on Wednesday. L&T Technology Services reported a strong Q1 performance, with net profit rising 13 per cent year-on-year to Rs 356.6 crore. Revenue increased 11.5 per cent to Rs 2,940.1 crore, EBIT jumped 28.1 per cent and EBIT margin expanded by 200 basis points to 15.7 per cent. Dollar revenue rose to USD 309.9 million.

Tata Elxsi posted an 18.2 per cent year-on-year increase in net profit to Rs 170.6 crore, while revenue grew 14.5 per cent to Rs 1,021.1 crore.

Anand Rathi Share and Stock Brokers reported a 2.3 per cent rise in net profit to Rs 23.4 crore. Net interest income surged 47.6 per cent to Rs 68.4 crore, although the company reported an exceptional loss of Rs 20.9 crore.

Hero MotoCorp's board approved an additional investment of up to Rs 1,000 crore in Ather Energy, where it currently holds a 29.48 per cent stake.

Belrise Industries launched a Qualified Institutions Placement (QIP) with a floor price of Rs 230.79 per share and may offer a discount of up to 5 per cent.

PDS entered into a strategic partnership with Indonesia-based Busana Apparel Group to strengthen its global manufacturing network.

Kirloskar Brothers said its U.K. subsidiary, SPP Pumps, secured an order worth GBP 11.7 million, equivalent to around Rs 149.59 crore, from Saipem Offshore Construction SPA for vertical pumps and spares.

Easy Trip Planners signed a memorandum of understanding with the Jharkhand Tourism Department to promote tourism through digital initiatives.

Delhivery received approval from the Reserve Bank of India for the registration of its wholly owned subsidiary, Delhivery Financial Services, as a Type II NBFC-ND, subject to regulatory compliance.

IOL Chemicals & Pharmaceuticals received approval from China's National Medical Products Administration (NMPA) for its Clopidogrel Bisulfate API, strengthening its regulatory presence in China.

Jain Resource Recycling reported a furnace explosion at its Tamil Nadu plant, resulting in one fatality and injuries to several workers.

Jammu and Kashmir Bank proposed to sell a 0.50 per cent stake in PNB MetLife India Insurance to MetLife International Holdings for Rs 120.1 crore.

Kaynes remains under the futures and options (F&O) ban list for July 15.

Foreign Institutional Investors (FIIs) remained net sellers on July 14, offloading equities worth Rs 739.69 crore. Domestic Institutional Investors (DIIs), however, continued to support the market by purchasing shares worth Rs 2,927.71 crore.

The Indian stock market ended lower on Tuesday as rising geopolitical tensions and higher crude oil prices weighed on investor sentiment. The Sensex declined 561.46 points, or 0.72 per cent, to close at 77,054.94, while the Nifty 50 fell 158.95 points, or 0.66 per cent, to settle at 24,052.05.

U.S. markets closed higher overnight after investors welcomed encouraging inflation data and strong earnings from major banks. The Dow Jones Industrial Average gained 10.02 points, or 0.02 per cent, to close at 52,508.66. The S&P 500 rose 28.55 points, or 0.38 per cent, to 7,543.89, while the Nasdaq Composite advanced 233.83 points, or 0.90 per cent, to 26,107.01.

Among individual stocks, Nvidia gained 4.06 per cent, AMD rose 2.57 per cent, Intel climbed 4.50 per cent, Micron Technology advanced 4.92 per cent and SK Hynix ADR surged 27.29 per cent. Tesla added 0.36 per cent, while Microsoft declined 1.55 per cent, Apple slipped 0.77 per cent and IBM tumbled 25.21 per cent.

Disclaimer: The article is for informational purposes only and not investment advice.