Asian markets opened mixed on Thursday, July 30, amid higher oil prices after President Donald Trump threatened to hit Iran hard, while investors also assessed the US Federal Reserve's decision to hold benchmark rates steady. Japan's Nikkei 225 slipped 0.25% at the open but quickly pared losses to trade 1.5% higher, while Hong Kong's Hang Seng index rose 2% in early trade. South Korea's Kospi gained 0.89% at the open but pared gains to trade lower after a sharp drop on Wednesday, with the small-cap Kosdaq losing 0.73%. Australia's benchmark S&P/ASX 200 was 0.26% lower. The mixed performance reflects ongoing market uncertainty as investors digest the Fed's monetary policy decision and geopolitical tensions in the Middle East.
The US Federal Reserve kept its benchmark interest rate unchanged at 350-375 basis points in its second monetary policy meeting under new Chairman Kevin Warsh, as expected by markets. While the central bank left rates unchanged, Beth M. Hammack, Neel Kashkari and Lorie K. Logan voted in favour of a 25-basis-point rate hike, indicating that policymakers continue to remain divided over the inflation outlook. The Fed's decision was driven by looming concerns over inflation, which has persistently stayed above the Fed's medium-term target of 2%. The voting was not unanimous, as nine members backed the decision to hold rates steady, whereas three differed with the majority's opinion. The decision broadly matched market expectations, helping ease uncertainty surrounding interest rates.
India's Index of Industrial Production (IIP) grew by 7.3 per cent YoY in June 2026, accelerating from a revised 5.0 per cent in May, supported by strong growth in manufacturing and the electricity and gas supply sector. As reported by The Hindu BusinessLine, Shashwat Singh, Fundamental Analyst at Bajaj Broking, noted that the reading was significantly higher than both the 5.0 per cent growth recorded in the previous month and the market expectation of 5.6 per cent. The stronger-than-expected reading indicates that industrial growth gained traction at the end of the quarter despite ongoing global uncertainties.
Indian equity benchmarks ended Wednesday's session with strong gains after opening on a positive note and extending their rally throughout the day. The BSE Sensex climbed 888.68 points, or 1.16%, to close at 77,654.60, while the Nifty 50 advanced 264.85 points, or 1.10%, to settle at 24,250.20. According to Goodreturns, improved investor sentiment was supported by appreciation in the Indian rupee, short covering by foreign institutional investors (FIIs) and sustained buying across frontline sectors. Gift Nifty at 24,260 signals that Indian stock markets are likely to open on a positive note on Thursday amid stable Asian markets, despite the mixed performance across regional markets.
The market continues to remain in a positive phase with continued buying interest across sectors. According to Bajaj Broking Research, the Nifty formed a bullish candle on the daily chart after making a higher high and higher low, reflecting continued buying interest. The index in the process formed a higher high in the weekly chart and sustaining above Wednesday gap area will keep the bias positive and will extend the pullback towards the 24,370 levels in the coming session. The brokerage expects the index to gradually move towards the 24,500-24,600 resistance zone, which coincides with the current month's high and the April 2026 peak. On the downside, immediate support has shifted higher to the 23,800-24,000 region, supported by the 20-day and 50-day exponential moving averages.
Bank Nifty formed a high-wave candle with a higher high and higher low, indicating renewed buying interest after recent consolidation. According to Bajaj Broking Research, the banking index has largely traded within the 56,500-58,700 range over the past six weeks, with 57,500 remaining the immediate hurdle. A sustained move above this level could pave the way for an advance towards 58,000. On the downside, the 56,500-56,000 zone remains a crucial support area, reinforced by the confluence of the lower band of the six-week trading range, an ascending trendline, and the 52-week EMA, making it a strong demand zone.
