The Prime Daily: 17 June 2026

The Dow Jones Industrial Average rose to a record high on Tuesday as investors rotated out of semiconductor names to cyclical stocks, aided by a sharp decline in oil prices.

The 30-stock Dow Jones index advanced 329 points, or 0.64%, for a record close of 51,999.67, after touching an intraday peak of 52,190. The S&P 500 declined 0.57% to finish at 7,511.35, while the Nasdaq Composite slipped 1.15% to 26,376.34.

Pressure on the Nasdaq came from weakness in several chip stocks. Advanced Micro Devices fell more than 7%, Broadcom declined 4%, Micron Technology lost 6%, and Nvidia dropped more than 2%.

Market participants are closely watching the Federal Reserve’s policy meeting today, which marks the first chaired by Kevin Warsh. Policymakers are widely expected to leave interest rates unchanged, but markets are assessing whether the central bank’s language signals a shift in its policy outlook.

The Bank of Japan raised rates by 25 basis points on Tuesday, saying it will continue tightening policy amid sticky inflation. Alongside the widely expected hike, the BOJ also outlined plans to slow the pace of monthly bond purchases in the coming quarters.

Oil prices fell sharply to a fresh three-month low on growing expectations that the Strait of Hormuz may be fully reopened after representatives from Washington and Tehran meet in Switzerland on Friday to formalize a memorandum of understanding between the two sides. WTI July futures fell nearly 6% to $76 per barrel, while Brent dropped about 5% to $79.

Asian markets are trading mixed today as investors await the U.S. Federal Reserve’s rate decision.

Back home, the Nifty extended gains for a third straight session, rising 135 points to close at 23,989, its highest finish since May 25. The rupee also strengthened, appreciating 15 paise to 94.56, supported by a favourable macro backdrop and easing crude prices.

The short-term trend remains positive, with Nifty trading above its key short-term moving averages. On the upside, the 100-day exponential moving average near 24,150 remains the key hurdle. Since the escalation in the Middle East (US‑Iran‑Israel) began, Nifty has not been able to sustain a move above that level. Two prior attempts in April and May 2026 failed to clear this resistance. A decisive close above 24,150 would establish bullish momentum on positional charts.

On the downside, the 50-day EMA near 23,780 is expected to act as immediate support. As long as the index holds above this level, the short-term outlook remains positive