GIFT Nifty trades slightly lower, signals cautious opening for D-Street

Nifty gained in Monday's session and settled at 24,119 and the rebound was led by easing crude prices from last week's highs and improving risk sentiment, aided by marginal geopolitical relief after the US signalled efforts to facilitate vessel movement through the Strait of Hormuz. Analysts say markets are expected to sustain their gradual upmove, with near-term direction anchored around three key drivers -- softer crude oil prices, strong domestic data, and political clarity post state election outcomes.

STATE OF THE MARKETS
GIFT Nifty (Earlier SGX Nifty) signals a muted start
GIFT Nifty on the NSE IX traded lower by 4 points, or 0.02 per cent, at 24,041, signaling that Dalal Street was headed for a muted start on Tuesday.

• Tech View: On the volatility front, the index eased by nearly 1% over the week to close around 18, and any further cooling in volatility could lend support to bullish momentum. The broader structure remains positive as long as the Nifty holds above 23,800, though some near-term consolidation cannot be ruled out.
• India VIX: India VIX, which is a measure of the fear in the markets, fell 0.9% to settle at 18.30 levels.

US Stocks end lower
Wall Street ended lower on Monday, with the S&P 500 retreating from record highs, after a South Korean ship was hit by an explosion in the Strait of Hormuz and Tehran demonstrated its grip on Middle East oil, dampening optimism about strong first-quarter earnings reports.

Asian shares mixed
Australian shares opened lower, with markets closed in Japan, South Korea and mainland China. US equity-index futures were little changed after the S&P 500 Index retreated from its record on Monday.

• S&P 500 futures were little changed as of 9:21 a.m. Tokyo time
• Hang Seng futures fell 0.5%
• Australia’s S&P/ASX 200 fell 0.5%
• Euro Stoxx 50 futures fell 1.9%

Oil eases
Oil prices eased on Tuesday after climbing by as much as 6% in the previous session on signs the U.S. Navy is loosening Iran's closure of the key Strait of Hormuz waterway, potentially opening up supply from the key Middle East producing area.

Yen eases
The yen was steady on Tuesday amid lingering market nerves after suspected intervention by Tokyo last week sparked sharp gains in recent sessions, while the U.S. dollar firmed on safe-haven demand as the Middle East war weighed on sentiment.

Gold steady
Gold prices were largely steady on Tuesday, as investors weighed the economic fallout of escalating tensions in the Middle East amid stalled peace talks between the U.S and Iran.

Stocks in F&O ban today

NIL

Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit.

FII/DII action
Foreign portfolio investors net bought shares worth Rs 2,835 crore on Monday. DIIs, meanwhile, were net buyers at Rs 4,764 crore.

Rupee
The Indian rupee slipped to its weakest closing level on record at 95.08 on Monday, pressured by heightened dollar demand from maturing non-deliverable forward positions and an uptick in oil prices.

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