Pre-market Update: Nifty 50 Likely to See Weak Start on May 8 Amid U.S.-Iran Tensions; BSE, Britannia, SBI in Focus

Pre-Market Update at 7:44 AM: The Indian stock market benchmark indices, Sensex and Nifty 50, are likely to open on a weak note on Friday, May 8, amid subdued global cues. Renewed escalation in the U.S.-Iran conflict dampened hopes of peace talks and increased uncertainty across global financial markets.

Gift Nifty hovered around the 24,297 mark, trading at a discount of nearly 84 points compared to the previous close of Nifty futures, indicating a negative start for domestic equities.

Asian markets traded lower, while Wall Street ended in the red overnight as investors booked profits in technology stocks after the recent rally.

Tensions in the Middle East intensified after the U.S. launched strikes on Iranian military targets in response to Iran allegedly firing at three U.S. Navy destroyers in the Strait of Hormuz. Iran later said the situation had returned to normal, while the U.S. stated that it was not seeking further escalation and described the strikes as retaliatory action.

The U.S. Court of International Trade ruled that President Donald Trump’s temporary 10 per cent global tariffs were not justified under a 1970s trade law. However, the court blocked the levies only for two private importers and the State of Washington.

The U.S. dollar remained strong against major global currencies, with the dollar index standing near 98.23.

Crude oil prices advanced amid geopolitical tensions. Brent crude rose 1.36 per cent to USD 101.42 per barrel, while U.S. West Texas Intermediate (WTI) crude futures gained 1.08 per cent to USD 95.83 per barrel.

From a derivatives perspective, the Put-Call Ratio (PCR) stood at 1.01. On the Put (PE) side, significant open interest was concentrated at the 24,000 strike, indicating strong support for the day.

On the Call (CE) side, significant open interest addition during the previous trading session was seen at the 24,400 strike, suggesting this level may act as immediate resistance. In the near out-of-the-money strikes, high open interest was concentrated at the 24,500 level.

For the Nifty 50, immediate support is placed at the 20-DMA level of 24,145. A close below this mark could weaken the short-term trend and drag the index towards the recent low of 23,796.

On the upside, the index needs to decisively close above the 24,500–24,605 zone to regain bullish momentum. A breakout above 24,605 could trigger a fresh upside rally.

Shares of SBI, Titan, Hyundai Motor India, Swiggy, Multi Commodity Exchange of India, and Urban Company will remain in focus as these companies are scheduled to announce their Q4FY26 results today. BSE, Pidilite Industries, and Britannia Industries will also remain in focus following their earnings announcements.

No stock has been placed under the F&O ban for May 8.

On May 7, Foreign Institutional Investors (FIIs) bought equities worth Rs 340.89 crore on a net basis. Domestic Institutional Investors (DIIs) also remained net buyers, purchasing shares worth Rs 441.07 crore during the session.

On Thursday, Indian benchmark indices ended marginally lower amid profit booking in a volatile trading session. The Sensex declined 114 points, or 0.15 per cent, to close at 77,844.52, while the Nifty 50 slipped 4.30 points, or 0.02 per cent, to settle at 24,326.65.

U.S. stock markets ended lower on Thursday amid uncertainty surrounding U.S.-Iran peace talks. The Dow Jones Industrial Average fell 0.63 per cent to 49,596.97, while the S&P 500 declined 0.38 per cent to close at 7,337.11. The Nasdaq Composite ended 0.13 per cent lower at 25,806.20.

Among major technology stocks, Nvidia gained 1.85 per cent, Microsoft rose 1.70 per cent, AMD declined 3.09 per cent, Intel dropped 3 per cent, Amazon fell 1.38 per cent, while Tesla rallied 3.33 per cent.

Gold prices traded higher and were headed for a weekly gain amid easing fears of inflation and higher interest rates. Spot gold rose 0.3 per cent to USD 4,700.80 per ounce and has gained 1.9 per cent so far this week. Spot silver increased 0.8 per cent to USD 79.10 per ounce.

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

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