Indian shares set for muted open as crude, geopolitics weigh

The Story in Brief

Indian equity benchmarks are expected to open flat to lower on Thursday, as elevated crude oil prices and US-Iran tensions over the Strait of Hormuz offset positive global cues. Gift Nifty traded around 24,437, a discount of 33.5 points from Nifty futures’ previous close, signalling a weak start. On Wednesday, the Sensex fell 187.90 points to 77,966.35 and Nifty declined 35.75 points to 24,435.95.

Asian markets rallied after softer-than-expected US inflation data reinforced expectations that the Federal Reserve would hold rates in September. Japan’s Nikkei gained 1.5% and South Korea’s Kospi jumped over 3%. However, Brent crude remained near $88-89 a barrel. The Hindu Business Line reports that India’s retail inflation rose to 4.45% in July, driven by food prices, but Elara Securities expects the RBI to hold rates through CY26.