Gift Nifty Points to Flat-To-Negative Open for Sensex, Nifty on Iran War Escalation, Global Markets Wobble

Mumbai, July 21: Indian equity benchmarks are set to open flat-to-negative on Tuesday tracking discounted Gift Nifty, as the Iran war escalated into its ninth day with Yemen’s Houthis threatening to blockade Saudi Arabia by sea. Asian and Wall Street finishes overnight weakened sentiment further while investors await Q1FY27 earnings to come to the index’s rescue.

Gift Nifty July 28, 2026 contract was trading at 24,139.50 as on 7.51 am Tuesday, up 25 points or 0.1 per cent. However, this level was at a discount of almost 100 points to Monday’s close of Nifty 50 at 24,238.50, indicating a lower opening. Expect Nifty 50 to open around 24,150-24,200 at 9.15 am.

Iran War

Yemen’s Houthis threat a naval blockade of Saudi Arabia on Monday evening escalating the war further by opening another front, putting global energy supplies at risk. American deaths rose by two on Monday after the Pentagon confirmed two more soldiers killed in Friday’s Iranian attack at a Jordan base. A fourth serviceman died in northern Iraq overnight. Iran’s Revolutionary Guards announced explosions on tankers in the Strait of Hormuz and carried out attacks on U. S.-linked assets in Jordan, Kuwait and Syria, taking retaliation against Washington directly. Tehran also received a mediator’s suggestion for a fresh 10-day ceasefire even as President Trump promised harsh retaliation for every soldier killed in attacks. U.S Central Command said it had launched another strike on Iranian cities overnight.

Asian Markets on Tuesday Morning

Asian markets traded mixed to weak on Tuesday as investors fretted over the war in Iran and risk of supply disruption in regional energy supplies. Japan’s Nikkei 225 jumped over 1.5 per cent while Hong Kong’s Hang Seng Index and Malaysia’s KLCI eased marginally lower. Vietnam’s HNX 30 plunged over 4 per cent and China’s Shanghai Composite fell almost 1 per cent, while Australia’s All Ordinaries was also down. Indonesian and Thai markets were trading higher.

US Markets

Wall Street ended in the red on Monday as traders weighed Iran conflict escalation against the heavy week ahead for earnings and Fed commentary. Dow declined 307.16 points or 0.59 per cent to close at 51,839.26. The broader S&500 lost 0.19 per cent to 7,443.28 while the Nasdaq eased 12.17 points or 0.05 per cent to 25,508.07. NYSE Composite also dipped 0.62 per cent to 23,669.65. Canada’s S&P/TSX Composite Index dropped 0.86 per cent to 34,960.32.

Oil Prices

Oil prices slipped on Tuesday even as supply disruption fears rose after the Yemen Houthi’s threat to blockade Saudi Arabia shipping. Both Brent crude and WTI eased down from last session’s one-month highs at $88.87 per barrel and $82.47 per barrel respectively. Analysts said worries of tanker attacks disrupt another major exporter outside the Gulf region heightened after the Houthi revelation. Tehran reportedly received another mediator’s suggestion to agree to 10-day ceasefire aimed at salvaging the interim deal signed on June 17. A preliminary Reuters poll showed analysts expect weekly U.S crude and gasoline inventories fell last week while distillate stocks likely rose.

Indian Markets on Monday

Indian benchmark indices ended lower on Monday, with the Nifty slipping below the 24,250 mark as heavy selling in private banking stocks offset gains in energy, metal and pharmaceutical shares. Investors digested a slew of June-quarter earnings, while elevated crude oil prices and lingering geopolitical tensions in the Middle East kept risk appetite in check. The BSE Sensex declined 442.93 points, or 0.57%, to close at 77,708.52, while the NSE Nifty50 fell 95.80 points, or 0.39%, to settle at 24,238.50. Market breadth remained positive, with 2,141 stocks advancing, 1,944 declining and 229 remaining unchanged, indicating buying interest in the broader market despite weakness in benchmark indices.

Source:

• nseindia.com
• https://www.reuters.com/world/middle-east/us-launches-iran-strikes-ninth-day-another-american-confirmed-killed-2026-07-20/
• https://www.reuters.com/business/energy/oil-prices-dip-mediation-efforts-offset-us-iran-strikes-2026-07-21/