Indian equity markets posted a mild uptick on Thursday morning, with BSE Sensex adding 81 points, or 0.10%, to reach 77,553 and NSE Nifty gaining 37 points, or 0.16%, to reach 24,425 as of 9:18 am. According to Zee News, this recovery was driven by Brent crude easing 0.6% to $87.30 per barrel after Iran informed about discussions with Oman to finalise the Strait of Hormuz-related agreement. The positive momentum was supported by fresh hopes that the Strait of Hormuz could reopen soon after Iran said it has resumed talks with Oman on managing the strategic waterway. Main broad-cap indices performed in line with the benchmark, as Nifty Midcap 100 added 0.31% and Nifty Smallcap 100 gained 0.24%, with all sectoral indices on NSE trading in green except Nifty Media.
The market rally was primarily attributed to a sharp decline in crude oil prices, with Brent crude easing 0.6% to $87.30 per barrel after Iran informed about discussions with Oman to finalise the Strait of Hormuz-related agreement. As reported by Zee News, this development in the Middle East geopolitical landscape provided relief to commodity-sensitive sectors and supported the broader market sentiment across all market segments. The much-anticipated US sanctions against Iran fell short of market expectations, causing crude oil prices and bond yields to moderate from their recent peaks. The positive momentum was supported by fresh hopes that the Strait of Hormuz could reopen soon after Iran said it has resumed talks with Oman on managing the strategic waterway.
Among individual stocks, Nifty IT emerged as the top gainer, rising 0.42%, followed by Nifty Consumer Durables gaining 0.76% and Nifty Healthcare rising 0.72%. According to Zee News, Nifty Pharma and Nifty PSU Bank each gained 0.56%, while Nifty Media declined 0.46% and Nifty Auto gained 0.11%. The divergent performance across sectors reflected selective investor interest in defensive and domestic-oriented sectors, with Nifty Metal declining 0.59%, Nifty Private Bank falling 0.31%, Nifty Realty declining 0.05% and Nifty Oil and Gas slipping 0.06%. The immediate support for Nifty is placed at 24,000–24,050 level, while on the upside, the 24,350–24,400 zone remains a key hurdle for the bulls.
Foreign institutional investors (FIIs) net bought equities worth ₹502 crore on August 26, while domestic institutional investors (DIIs) purchased equities worth ₹6,425 crore, according to Zee News. The rupee remained largely stable, closing at ₹95.70 against the US dollar after opening at ₹95.65 and moving between an intraday high of ₹95.64 and low of ₹95.75. In Asian markets, China's Shanghai index gained 0.63% and Shenzhen added 1.17%, while Japan's Nikkei lost 0.15% and Hong Kong's Hang Seng Index eased 0.47%. South Korea's Kospi added 2.01%, with overnight US markets ending mixed as Nasdaq lost 0.08%, S&P 500 shed 0.02%, and Dow Jones dipped 0.21%.
From a technical perspective, Nifty's rise, which was expected yesterday with an initial objective of 24,400, is expected to mature today, according to Anand James, Chief Market Strategist at Geojit Investments. As reported by Zee News, the analyst noted that the near-term bias remains cautious and range-bound, with mixed Asian markets and subdued global cues keeping investors watchful. The focus remains on inflation, bond yields and ongoing geopolitical developments, while easing crude prices could provide some support to Indian equities. Market experts emphasize that these are not good enough to trigger a sharp rally in the Nifty since many mega caps in the Nifty are technically weak, and the market rally will be led by the broader market, which is driven by supporting fundamentals and momentum.
