Pre-Market Update: Nifty, Sensex Set for Weak Opening on April 23 Amid $100 Crude Surge

Pre-Market Update at 7:44 AM: The Indian benchmark indices, Sensex and Nifty 50, are likely to open on a weaker note on Thursday, April 23, as market sentiment remains subdued due to rising crude oil prices driven by the ongoing blockade of the Strait of Hormuz. Despite positive global cues, concerns over supply disruptions and geopolitical tensions are weighing on domestic markets.

Asian markets traded positively, with Japan’s Nikkei and South Korea’s Kospi hitting record highs. The U.S. stock market also ended higher overnight, with both the S&P 500 and Nasdaq Composite closing at record levels, supported by strong corporate earnings and optimism around the extended U.S.–Iran ceasefire.

Gift Nifty hovered around the 24,206 mark, trading at a discount of about 157 points compared to the previous close of Nifty futures, signalling a gap-down opening for Indian stock market indices.

Geopolitical tensions escalated further as Iran reportedly targeted three ships in the Strait of Hormuz and seized two of them. This marks a sharp intensification of attacks on a critical global shipping route. The development came just a day after U.S. President Donald Trump extended a ceasefire while maintaining an American naval blockade on Iranian ports, adding to uncertainty in global markets.

On the corporate front, Trent reported strong Q4 consolidated results. The company’s net profit surged 32.6 per cent year-on-year to Rs 413.1 crore, compared to Rs 311.6 crore in the same period last year. Revenue rose 19.2 per cent to Rs 5,028 crore from Rs 4,216.9 crore. The board also approved a Bonus issue in a 1:2 ratio and cleared plans to raise up to Rs 2,500 crore through a rights issue.

The Reserve Bank of India (RBI) maintained a status quo on interest rates, as reflected in the latest MPC minutes. RBI Governor Sanjay Malhotra flagged risks arising from the ongoing West Asia conflict, noting that it could impact India through exports, supply chains, commodity prices, remittances, and global demand.

Crude oil prices moved higher amid supply concerns. Brent crude edged up 0.33 per cent to USD 102.25 per barrel, while U.S. WTI crude jumped 2.81 per cent to USD 92.13 per barrel after Iran stated it would not reopen the Strait of Hormuz as long as the U.S. blockade continues.

From a derivatives perspective, the Put-Call Ratio (PCR) stands at 0.96, indicating a neutral to slightly cautious market stance. On the Put side, significant open interest is concentrated at the 24,000 strike, suggesting this level may act as strong support. On the Call side, notable open interest addition was seen at the 24,400 and 24,500 strikes, marking these as key resistance levels. Additionally, high open interest is concentrated at the 24,500 and 25,000 strikes.

Technically, the Nifty 50 is in a consolidation phase. Immediate resistance is placed in the 24,550–24,600 zone, which has turned into a crucial hurdle after acting as earlier support. A decisive move above 24,600, supported by a strong RSI above 60, could trigger fresh upside momentum towards 24,747 and potentially 25,140. On the downside, the 24,240–24,200 range serves as an important support band, and a break below this zone may lead to further weakness towards 24,070.

Stock-specific action is expected to remain active amid ongoing Q4FY26 earnings announcements. Key stocks to watch include Infosys, which has entered a strategic collaboration with OpenAI to enhance software development using AI tools like Codex. Jio Financial Services has announced a 50:50 joint venture with Allianz Group for general and health insurance and is also exploring a life insurance partnership.

Bharat Electronics secured orders worth Rs 569 crore, including avionics and electronic warfare systems. Unimech Aerospace and Manufacturing approved an investment of Rs 450 crore to acquire Hobel Bellows through a subsidiary. Lemon Tree Hotels signed license agreements for properties in Raipur and Jalandhar via Carnation Hotels. Eveready Industries India inaugurated India’s only operational alkaline battery plant in Jammu with an investment of Rs 200 crore.

Several companies are scheduled to announce their quarterly earnings today, including Infosys, Tata Capital, Aditya Birla Sun Life AMC, Adani Energy Solutions, BlueStone Jewellery and Lifestyle, CIE Automotive India, Cyient, Indian Energy Exchange, Mahindra Logistics, Sterling and Wilson Renewable Energy, Tata Teleservices (Maharashtra), Union Bank of India, and UTI Asset Management Company.

In the derivatives segment, SAIL remains on the F&O ban list for April 23.

Institutional activity remained negative in the previous session. On April 22, Foreign Institutional Investors (FIIs) were net sellers, offloading equities worth Rs 2,078.36 crore. Domestic Institutional Investors (DIIs) also remained sellers, with net sales of Rs 1,048.17 crore.

On Wednesday, Indian markets ended sharply lower, snapping a three-session winning streak. The Sensex declined 756.84 points, or 0.95 per cent, to close at 78,516.49, while the Nifty 50 fell 198.50 points, or 0.81 per cent, to settle at 24,378.10.

Meanwhile, Wall Street closed higher, with the Dow Jones Industrial Average rising 340.65 points, or 0.69 per cent, to 49,490.03. The S&P 500 gained 1.05 per cent to 7,137.90, and the Nasdaq Composite jumped 1.64 per cent to 24,657.57.

Among major stocks, NVIDIA rose 1.31 per cent, AMD surged 6.67 per cent, and Broadcom advanced 5.09 per cent. Microsoft gained 2.07 per cent, Apple climbed 2.63 per cent, Amazon added 2.18 per cent, and Tesla edged up 0.28 per cent. In the broader market, GE Vernova jumped 13.75 per cent, Boston Scientific gained 8.99 per cent, and Boeing rose 5.53 per cent, while United Airlines declined 5.58 per cent.

In commodities, gold and silver prices remained subdued. Spot gold fell 0.3 per cent to USD 4,727.65 per ounce, while silver also declined 0.3 per cent to USD 77.48 per ounce.

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

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