Pre-open Trade Signals Flat Open For Nifty, Sensex Amid Iran Uncertainty

Mumbai, May 22: Indian shares flatlined at pre-open suggesting a flat start for benchmark indices as investors remain cautious despite U.S.-Iran diplomacy showing signs of progress.

Nifty 50 rose 0.05% at pre-open while Sensex increased 0.06%.

To be sure, both benchmarks ended almost flat last day.

Spotlight will be falling on Maruti Suzuki India, Paytm, ITC, and LG Electronics India.

India’s largest carmaker Maruti Suzuki India said it will raise vehicle prices by up to Rs 30,000 from next month in the wake of the Iran war.

Private equity firm SAIF Partners aims to sell around 1.3% stake in Paytm, CNBC-TV18 reported.

Also, ITC showed anuptick in adjusted profit and LG Electronics India posted a decline in profit despite an 8% rise in revenue.

As for global cues, Asian stocks climbed, led by a surge in Japanese equities after investors took comfort from signs of progress in U.S.-Iran negotiations.

Japan’s Nikkei jumped more than 2%, while MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.5%. Hong Kong’s Hang Seng advanced 0.8%, while South Korea’s Kospi traded 0.3% higher. U.S. stock futures also edged up, signalling sustained investor appetite for risk assets.

U.S. equities ended modestly higher overnight following a volatile session shaped by oil price swings, rising Treasury yields and corporate earnings.

The Dow Jones Industrial Average rose 0.55% to close at a record high, while the S&P 500 and Nasdaq registered moderate gains.

Investor focus remained on chipmaker Nvidia after its strong quarterly earnings and upbeat guidance triggered profit booking, reflecting elevated expectations surrounding artificial intelligence-linked stocks.

Broader sentiment, however, improved after reports suggested continued diplomatic engagement between the United States and Iran, easing fears of an immediate escalation in the Middle East.

European markets ended largely flat on Thursday as investors turned cautious after recent gains and monitored geopolitical developments in the Middle East.

The pan-European STOXX 600 index finished nearly unchanged, while persistent concerns around elevated crude oil prices and sticky inflation continued to weigh on global bond markets.

Source:

• Exchanges