More Stories

Informist, Wednesday, Jun. 10, 2026

By Arundathi A R

MUMBAI – Headline equity indices are seen to move in a range as suggested by levels in the GIFT Nifty amid new strikes and retaliatory attacks between the US and Iran earlier in the day. Hours before these strikes, US Vice President J.D. Vance had Tuesday said the US-Israel war on Iran could conclude in a week or a few months. Investors are likely to take a cautious stance ahead due to mixed signals received from West Asia. However, analysts were firm in their view that the market will shift its direction, according to the news flow from the global front.

All Asian equity markets were down in the early trade, which is expected to dampen the domestic market sentiment. However, crude oil prices continued to hover near $92 a barrel, though it rose over 1% from its previous close. The ease in oil prices could lift the market sentiment, analysts say.

US Central Command said its "forces began launching self-defense strikes against Iran" in response to "yesterday's (Tuesday) downing of a US Army Apache helicopter," Al Jazeera reported. US President Donald Trump earlier said that the US "must respond" to the alleged attack, but later seemed to downplay it, saying it "wasn't a big deal." The "self-defense strikes" are "a proportional response to unjustified Iranian aggression," CNBC reported, citing Centcom as said in an X post.

"The latest clash undermines the US ceasefire with Iran — which remains nominally active despite numerous outbreaks of fighting — and could put even a temporary peace deal even farther out of reach," CNBC reported. According to Iran's Tasnim News Agency, Iran will respond to the US military actions, according to the report.

Prior to these attacks, US Vice-President J.D. Vance, in an interview with CBS News, said the war would conclude in a week or a few months. "Vance claimed the US was "very close to achieving" a peace deal with Iran, adding that it could "absolutely" come before the midterm elections," according to a report by The Guardian. "Right now, I feel that we are in a position to get a deal that is good for the United States economically and that really does deal with the Iranian nuclear program," The Guardian reported, quoting Vance.

At 0747 IST, GIFT Nifty June futures were 0.4% higher from the previous close at 23265.50. This was 23 points higher than the Nifty 50's previous close of 23242.10. Analysts see the Nifty 50 finding support at 23100–23150 levels and facing resistance at 23300–23500 levels. "Markets are expected to trade with optimism led by the banking space," said Ruchit Jain of Motilal Oswal.

"I think, hypothetically, assuming that crude oil prices will go down on the back of a deal between US and Iran, the outlook continues to remain positive," Sunny Agrawal, head of fundamental equity research at SBICAPS Securities, said. "And on other hand, in case due to some reason, there is an escalation in the war and crude oil prices go to $120-$150 (per barrel), then in that case, we may continue to witness a downward pressure on Indian equity markets," he said.

At 0753 IST, Brent crude oil August futures were over 1% higher at $92.44 a barrel. From the pre-war levels, prices were up nearly 27%. In the last seven days, however, oil prices shed nearly 3%.

Foreign investors net sold shares worth INR 45.66 billion Tuesday, down from INR 55.56 billion offloaded Monday. Meanwhile, domestic investors continued supporting the equity market by net buying shares worth INR 61.59 billion on Tuesday. Foreign institutional investor flows rose nearly 48% in a week, while it rose nearly 19% in the last seven days. 

"Domestic demand has been holding steady," PL Capital, the new brand name of Prabhudas Lilladher, said in its strategy report. "However, El Nino and inflation in daily essentials can derail the momentum in coming months." According to the brokerage, the Nifty 50's free float earnings per share has grown by 1.6% in 2025-26 (Apr-Mar)and current valuations of 16.5 times the FY27 makes it expensive in comparison to many developed and emerging markets, not withstanding the long-term growth potential in the economy.

PL Capital also sees the full impact of higher daily essentials, El Nio, and rising inflation has the potential to curb consumption demand from the September quarter. The brokerage said it will not rule out the possibility of repo rate hike from the second half of FY27. "Balance of trade including services remain comfortable, however sustained FII selling, pressure on remittances (USD 120bn/annum and USD40bn from Middle East) and crude spikes are placing the currency under stress," it said in the report. Tuesday, the Indian rupee settled at 95.3500 against the dollar.

Among the Asian equity indices, South Korea's KOSPI was the major loser, down 3.5%. TAIEX, Nikkei 225, and FTSE Singapore Strait Times were down over 1%. In the US indices, the Nasdaq Composite and S&P 500 indices closed lower Tuesday, while the Dow Jones Industrial Average settled marginally higher.  End

US$1 = INR 95.35

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

Edited by

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2026. All rights reserved.