Gift Nifty Points to a Weak Open for Sensex, Nifty on Wednesday

Mumbai, Sept 1: Gift Nifty futures pointed to a soft opening for Indian equity benchmarks on Wednesday, September 2, after a choppy Tuesday session that ended firmly in the red, with elevated oil prices and the ongoing Iran-US standoff keeping investors on edge. The near-month Gift Nifty contract expiring September 29 was last at 24,051.00, down 133.50 points, or 0.55 per cent on the day, while the far-month October 27 contract slipped 82 points, or 0.34 per cent, to 24,153.50. The wider swing compared with Monday’s session suggests the market is now leaning more decisively toward caution heading into Wednesday’s open. 

Gift Nifty Intraday Analysis 

The near-month Gift Nifty future opened at 24,199 and slid through the morning to an intraday low of 24,026.5, before staging a sharp recovery around midday to touch a high of 24,270. The contract then reversed course through the afternoon, giving up the entire recovery to settle near 24,051, down 0.55 per cent on the day. The round-trip move points to two-way volatility giving way to a clearer downward bias by the close, with support near 24,026.5 and resistance near the day’s high of 24,270. 

Indian Markets on Tuesday 

Indian equity benchmarks ended marginally lower on Tuesday even after stronger-than-expected economic growth data, with losses in pharmaceutical, banking, auto and realty stocks offsetting gains in information technology and FMCG shares. The Sensex fell 12.99 points, or 0.02 per cent, to 76,944.28, while the Nifty declined 24.60 points, or 0.10 per cent, to 24,055.80. Market breadth stayed weak through the session, with 1,668 stocks advancing against 2,467 declining and 190 unchanged, even as India’s economy expanded 7.8 per cent year-on-year in the April-June quarter, beating expectations, with the positive domestic cue overshadowed by rising crude prices and weak global sentiment. 

Oil Prices 

Oil prices extended their advance on Tuesday, with WTI crude up 2.31 per cent at $87.74 a barrel and Brent crude climbing 1.65 per cent to $91.98, while Gulf-linked Murban crude led the move, up 5.34 per cent at $103.71. The continued rally, now stretching into a third session, keeps inflationary pressure in focus for India as investors weigh the risk of further supply disruption through the Strait of Hormuz. 

Iran War 

US President Donald Trump vowed further strikes against Iran after the first direct exchange of fire in a month, with Iran launching missiles at two US bases in Jordan following an American strike on Iranian minelaying forces near the Strait of Hormuz. A senior Iranian source described the exchange as a limited, contained confrontation but warned of a harsher response to any future attack, even as Iranian President Masoud Pezeshkian said Tehran still favoured a negotiated end to the conflict. Washington, meanwhile, pressed ahead with fresh economic sanctions on Iran’s business partners, with Treasury Secretary Scott Bessent signalling more such measures on a weekly basis. 

Asian Markets 

Asian markets were mixed on Tuesday, with no clear regional trend emerging from the renewed Iran-US tensions. Hong Kong’s Hang Seng fell 0.93 per cent and Malaysia’s KLCI was the region’s weakest performer, down 1.47 per cent, while Japan’s Nikkei 225 eased 0.15 per cent and Australia’s S&P ASX All Ordinaries slipped 0.11 per cent. On the other side, Indonesia’s JSX Composite jumped 1.14 per cent and Thailand’s SET rose 0.44 per cent, leaving the broader region without a consistent signal ahead of Wednesday’s Indian open. 

Outlook 

With Gift Nifty giving up its entire midday recovery to end well below Tuesday’s open, Indian benchmarks look set for a soft start when trading resumes at 9:15 am on Wednesday. Elevated oil prices and the Iran-US flare-up remain the key swing factors, and the sharper afternoon reversal suggests investors are turning more cautious than a day earlier. Traders will watch for further headlines from the Strait of Hormuz and any fresh sanctions announcements through Wednesday’s session. 

Source

• nseix.com
• Reuters
• OilPrice.com
• https://www.reuters.com/world/middle-east/trump-posts-ai-video-irans-kharg-smithereens-no-evidence-attack-2026-08-31/