Pre-Market Update: Nifty 50 and Sensex Likely to Open Higher on July 2, Gift Nifty Signals Strong Start

Pre-Market Update at 7:46 AM: The Indian stock market is expected to open higher on Thursday, July 2, supported by positive global cues. Despite mixed Asian markets and a subdued closing in U.S. equities, domestic sentiment remains firm. As of 7:32 a.m. IST, Gift Nifty was trading near 24,176, a premium of around 137 points over the previous close of Nifty futures, indicating a strong opening for the benchmark indices.

Semiconductor stocks came under pressure globally after the VanEck Semiconductor ETF (SMH) fell 5.4 per cent. Heavy declines in Micron Technology and Sandisk, both down more than 10 per cent, weighed on sentiment across the technology space.

Global geopolitical sentiment remained in focus as U.S. President Donald Trump said indirect talks between the U.S. and Iran in Qatar were making progress. Iran’s Deputy Foreign Minister stated that both sides agreed to set up a communication channel to report violations of their initial understanding, although Tehran clarified that no direct negotiations took place and discussions were aimed at de-escalation after earlier tensions in the region.

Gold extended its recovery as expectations of further U.S. rate hikes eased following comments from Federal Reserve Chairman Kevin Warsh. Spot gold rose 0.3 per cent to USD 4,053.57 per ounce after gaining 0.6 per cent in the previous session, while silver climbed 0.4 per cent to USD 59.35 per ounce.

Crude oil remained under pressure for the third straight session. WTI crude traded near USD 68 per barrel, while Brent hovered below USD 72 per barrel. Prices weakened due to steady shipments through the Strait of Hormuz and improving geopolitical dialogue, marking the weakest quarterly performance for oil since 2020.

The U.S. dollar strengthened ahead of key employment data but later trimmed gains after comments suggesting easing inflation risks. The dollar index was last up 0.17 per cent at 101.41, while the Japanese yen recovered part of its earlier losses after touching multi-decade lows.

From a derivatives perspective, the Put-Call Ratio stands at 1.10, indicating a mildly positive setup. Maximum open interest on both puts and calls is concentrated at the 24,000 strike, making it a crucial level for expiry. Fresh build-up at the same strike reinforces it as a key support-cum-resistance zone.

Nifty 50 gained 0.6 per cent in the previous session to close at 24,005.85, extending its position above key moving averages including the 10-day, 20-day and 50-day EMAs. The broader trend remains positive, though near-term consolidation is visible. A sustained move above 24,000 could push the index towards 24,200–24,300, while 24,500 remains the next resistance zone. On the downside, immediate support lies between 23,900 and 23,850.

Lupin received the Establishment Inspection Report from the U.S. FDA with a Voluntary Action Indicated classification for its Somerset facility in New Jersey. It also secured European Medicines Agency approval for new dosage strengths of NaMuscla at 62 mg and 83 mg.

Hero MotoCorp announced its second Global Parts Centre in Tirupati with an investment exceeding Rs 750 crore, taking its total investment in Andhra Pradesh above Rs 3,200 crore.

Tata Technologies expanded its global partnership with Tenneco LLC, which is expected to invest over USD 100 million over the next five years.

Bharti Airtel’s subsidiary Airtel Money commenced commercial operations as a Type II non-deposit-taking NBFC.

Syngene International saw Siddharth Mittal take charge as Managing Director and Chief Executive Officer from July 1.

Studds Accessories appointed Bharat Goyal as Chief Financial Officer, while Manish Mehta was redesignated as Vice President – Taxation and Compliance.

Coal India received a Rs 2,831.11 crore Letter of Award from Bundelkhand Saur Urja Limited for setting up a 600 MW Solar project.

Srivasavi Adhesive Tapes signed a supply agreement with a global multinational company for polypropylene, HDPE, fabric and related materials.

Sai Parenterals’ Australian subsidiary renewed an exclusive OTC medicines supply contract worth AUD 202 million (around Rs 1,300 crore) for 7.5 years, with an option for a three-year extension.

No stock is under the F&O ban for July 2.

FIIs were net sellers on July 1, offloading equities worth Rs 1,140.50 crore, while DIIs remained net buyers at Rs 3,159.24 crore.

Indian equities ended higher on Wednesday, with Sensex rising 444 points or 0.58 per cent to 76,922.64 and Nifty 50 advancing 140 points or 0.59 per cent to 24,005.85, supported by broad-based buying and easing crude oil prices.

U.S. markets ended slightly lower as weakness in semiconductor and technology stocks outweighed gains in select large caps. The Philadelphia Semiconductor Index dropped 6.3 per cent, reflecting heavy pressure on chip stocks. The Dow Jones slipped 13.96 points to 52,305.24, S&P 500 fell 16.13 points to 7,483.23, and Nasdaq Composite declined 173.69 points to 26,040.03.

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

What’s your strategy for today’s volatile market? Share in the comments!