Gift Nifty, July 9, 2026: Markets set for a Positive-to-Cautious Open; Renewed Iran War Looms Large

Mumbai, July 9: Indian stocks may open positive-to-cautious on Thursday, following an edge higher in Gift Nifty futures even as investors assess a renewed escalation in tensions between Iran and the United States. Asian markets traded mixed after touching the day’s lows in tandem with Wall Street overnight; Japan’s Nikkei 225 surged higher after the bell. Stocks ended mixed on Wednesday as investors tracked heightened tensions between Iran and the U.S.; while the Nasdaq eked out a gain, the Dow and S&P 500 finished lower.

Gift Nifty futures contracts for July 28 expiry were trading at 23,971.50 at 08: 05 am on Thursday, up 32.50 points or 0.14%. The near-month contract was holding above the Nifty 50’s previous close of 23,882.05 Wednesday, suggesting the index may gap higher at the open by around 90 points. Indian equity benchmarks tumbled on Wednesday, snapping four sessions of gains, as risk sentiment soured following fresh hostilities between Iran and the U.S.

In addition to a modest bounce off session lows on Wednesday, U.S. forces struck Iran overnight in a bid to keep oil flowing through the Strait of Hormuz, triggering retaliation from Iran, which launched attacks against both Kuwait and Bahrain. Stocks in Asia Pacific are mixed on Thursday following overnight losses on Wall Street, while Japan’s Nikkei 225 jumped into positive territory after-hours.

Iran War

Iran pounded military bases in Kuwait and Bahrain early Thursday in retaliation for U.S. strikes on Iran overnight. The U.S. military carried out fresh strikes on Iran to keep open the Strait of Hormuz shipping route early Thursday. U.S. Central Command said the overnight attack targeted weapons storage facilities and were in direct response to Iran’s attacks on three cargo ships transiting the Strait of Hormuz on Tuesday.

U.S. President Donald Trump tweeted Wednesday night that he believed Iran’s decision to attack vessels that evening was an escalation that suggested Tehran did not think a handshake agreement reached between the two countries in late June was going to happen. Earlier Wednesday, Trump said he didn’t think Iran was going to war with the U.S., though added he did believe the June 17 memorandum of understanding struck between the countries was “used for political purposes” and has “probably broken.”

US Markets on Wednesday Closing

Wall Street ended mixed Wednesday as traders digested developments in Iran. The Dow Jones Industrial Average dropped 576.76 points, or 1.09%, to finish at 52,348.39, the S&P 500 fell 21.14 points, or 0.28%, to end at 7,482.71 and the NYSE Composite dropped 226.36 points, or 0.94%, to close at 23,790.60, snapping a three-session winning streak. By contrast, the tech-heavy Nasdaq Composite advanced 51.96 points, or 0.20%, to 25,870.65.

Asian Markets on Thursday Morning

Asian markets traded mixed Thursday as Japanese stocks surged after-market hours. Japan’s Nikkei 225 rallied 2.04% to 68,180.55 and Hong Kong’s Hang Seng rose 0.22% to 24,251.87 in the morning session. Vietnam’s HNX 30 gained 0.29% to 516.98 and Thailand’s SET traded flat near its previous close. Pakistan’s KSE 100 plummeted 2.48% to 181,629.37, Indonesia’s Jakarta Composite declined 1.89% to 5,873.37 and Australia’s ASX All Ordinaries fell 0.61% to 8,924.60. Malaysia’s FTSE Bursa Malaysia KLCI dipped 0.21% to 1,679.44 and China’s Shanghai Composite dropped 0.13% to 3,965.71.

Oil Prices

Oil prices extended gains on Thursday as fresh strikes by U.S. forces on Iran dimmed hopes for a reopening of the Strait of Hormuz. Brent crude futures gained 78 cents, or 0.99%, to $78.80 per barrel at 00: 54 GMT, while U.S. West Texas Intermediate crude climbed 74 cents, or 1.01%, to $74.26 per barrel.

Both benchmarks rose by more than $1 per barrel in post-settlement trade on Wednesday after U.S. forces first struck Iranian targets to keep the Strait of Hormuz open. Both Brent crude and WTI earlier settled higher by nearly 3% each on Wednesday at their highest closing levels in more than two weeks. The gains pushed crude benchmarks further away from their late-April peaks of more than $120 a barrel as fears over supply disruptions due to attacks on shipping continue to dissipate.

Indian Markets on Wednesday

Benchmark indices on Indian exchanges logged their biggest single-day drop in more than three months on Wednesday amid a sharp risk-off move in global markets after Iran targeted U.S.-allied ships in the Gulf overnight. The 30-share BSE Sensex tanked 1,677.12 points, or 2.15%, to close at 76,503.60, while the broader NSE Nifty 50 shed 516.65 points, or 2.12%, to end at 23,882.05, snapping its three-day winning streak. The benchmark equity indices traded deep in the red through most of the session and tested their day’s lows during the first hour of trade after tensions escalated in the Middle East overnight. Market breadth was negative with 3,070 losers and 1,023 gainers.

Source:

• nseindia.com