Sensex and Nifty Poised for Strong Start on June 25 as Israel-Iran Truce Holds
Benchmark indices Nifty and Sensex are set for a positive start on Wednesday, June 25, buoyed by easing geopolitical tensions following the tentative ceasefire between Israel and Iran. After brief violations from both sides earlier, the truce appears to be stabilizing, bringing relief to global markets concerned about supply disruptions in the oil-rich Middle East.
At 7:40 am IST, the Nifty Futures (Gift Nifty) were trading about 100 points higher at 25,179, indicating a firm and optimistic opening for the day. Investors are closely watching key technical levels, while market sentiment remains supported by favorable global cues.
U.S. markets closed higher on Tuesday, further boosting investor confidence in India’s equity markets. Additionally, oil prices fell nearly 6 percent to a two-week low amid easing fears of supply interruptions caused by the Middle East conflict. This decline in crude oil prices is expected to alleviate inflationary pressures and support economic growth, which bodes well for the Indian markets.
However, the previous trading session was marked by volatility. Benchmarks erased almost all gains to close marginally higher after fresh concerns emerged due to reported ceasefire violations between Israel and Iran. Despite the tentative peace deal announced earlier, tensions briefly flared, unsettling investors.
Foreign Institutional Investors (FIIs) responded with caution, net selling Rs 5,266 crore—the largest one-day outflow in June—highlighting the lingering uncertainty in the markets. This selloff underscored the sensitivity of investors to geopolitical developments and their potential impact on market stability.
With the truce now seemingly holding, market participants are hopeful for a more stable trading environment. Analysts suggest keeping an eye on critical support and resistance levels in both the Sensex and Nifty to gauge the strength of the ongoing rally.
In summary, the combination of stabilizing geopolitical tensions, supportive global markets, and easing oil prices is setting the stage for a positive session in Indian equities on June 25.
