1 week ago
Global Markets Cautious as Oil and Iran Tensions Persist
Stock markets around the world are starting cautiously.
Many Asian markets fell, especially South Korea’s KOSPI and Hong Kong’s Hang Seng.
US stocks also fell on Monday, but they had risen on Friday.
Oil is expensive because investors are worried about growing tensions between the United States and Iran.
Expensive oil can make investors worry about companies and economies.
Indian stock futures suggest that Indian shares may open flat or slightly lower.
Analysts say the Nifty and Sensex could fall further if important support levels break.
They also say the markets could recover if prices move above key resistance levels.
Investors are waiting for NVIDIA Corporation’s earnings and signals from the Federal Reserve about interest rates.
Asian equities traded lower, with the KOSPI down about 1.90% to more than 3%, while Japan’s Nikkei fell roughly 0.10–0.15%.
US stocks closed lower Monday, although they had gained Friday; the S&P 500 and Nasdaq fell 0.28% and 0.76% Monday.
WTI crude remained near $85–$86 per barrel as tensions and proposed US sanctions on Iran raised energy-supply concerns.
GIFT Nifty indicated a flat-to-negative Indian opening near 24,145–24,170, below the Nifty’s previous close of 24,219.
Analysts identified 24,150 for the Nifty 50, 76,900 for the Sensex, and 57,500 for Bank Nifty as important support or trend levels.
- Who
- Global investors, traders, market analysts, the United States, Iran, NVIDIA Corporation, and the Federal Reserve are central to the market outlook.
- What
- Global equity markets are mostly weak or mixed as geopolitical tensions, high crude prices, chip-stock pressure, and upcoming economic events influence trading.
- Where
- The markets discussed are in the United States, Asia, Europe, and India, with energy-supply concerns involving the Strait of Hormuz.
- When
- The outlook covers the start of the Indian trading session after US market activity on Monday and Friday, with NVIDIA Corporation’s results due Wednesday and the Jackson Hole symposium later in the week.
- Why
- Investors are responding to escalating US-Iran tensions, proposed sanctions, elevated oil prices, uncertainty about interest rates, and concerns about technology-stock valuations.
Cautious and Bearish View
Potential Rebound View
Near-term Indian market direction
Cautious and Bearish View
Ponmudi R said persistent Middle East tensions and elevated crude prices were likely to keep Indian markets cautious, while Shrikant Chouhan said bearish chart patterns indicated further weakness.
Potential Rebound View
Amol Athawale said a pullback could continue as long as the Nifty remains above 24,150 and the Sensex stays above 76,900.
Nifty and Sensex levels
Cautious and Bearish View
A break below 24,150 for the Nifty or 76,900 for the Sensex could accelerate selling, with possible moves toward 24,000 or below and 76,400 or lower.
Potential Rebound View
A move above 24,250/77,500 could support a bounce toward 24,350–24,400/77,800–78,000; a breakout above 24,400/78,000 could lead toward higher stated target ranges.
Global technology outlook
Cautious and Bearish View
Chip and AI-hardware stocks came under pressure ahead of NVIDIA Corporation’s earnings, and analysts listed bearish trends for the KOSPI and Hang Seng in one market assessment.
Potential Rebound View
Friday’s gains in US and European equities, stronger US business-activity data, and bullish trend assessments for the Nasdaq and Dow Jones offered potential support.
Key facts
- WTI crude
- WTI was reported near $85–$86 per barrel, remaining above $85 after gaining 6.90% in the previous week.
- US equities Monday
- The S&P 500 fell 0.28% and the Nasdaq Composite declined 0.76%, while the Dow Jones Industrial Average rose 0.26%.
- US equities Friday
- The Dow Jones gained 0.98%, while the S&P 500 and Nasdaq Composite each rose 0.43%.
- Asian markets
- The Nikkei fell about 0.10–0.15%; the KOSPI declined about 1.90% to more than 3%; and the Hang Seng fell around 2.10% in the cited reports.
- Indian market indication
- GIFT Nifty traded around 24,145–24,170 against the Nifty’s previous close of 24,219 in one report, and 24,300–24,350 against a 24,252 close in the other.
- Indian equity levels
- The Nifty’s cited support was 24,150 and the Sensex’s 76,900; immediate resistance was cited near 24,250 and 77,500.
- Bank Nifty
- The 200-day simple moving average at 57,500 was identified as a trend-deciding level; immediate support was also cited at 57,300 and resistance near 58,000.
- Upcoming events
- NVIDIA Corporation’s earnings were due Wednesday, while the Federal Reserve’s Jackson Hole symposium was scheduled for later in the week.
Quotes
Ponmudi R
CEO at Enrich Money
“Indian equity markets are set to begin the week on a cautious footing as persistent Middle East tensions and elevated crude oil prices continue to temper risk appetite.”
livemint.com
“Crude prices remain firm, with WTI trading near $86 a barrel as markets brace for fresh US sanctions against Iran amid an already prolonged geopolitical standoff.”
livemint.com
Shrikant Chouhan
Head of Equity Research at Kotak Securities
“Bank Nifty closed with a bearish candlestick on the daily chart, highlighting continued selling pressure near higher levels. The index remains in a consolidation phase, indicating indecision among market participants and a lack of clear directional conviction.”
livemint.com
“A bearish candle on daily charts and a reversal formation on intraday charts indicate further weakness from the current levels. We believe that 24,250/77500 will act as an immediate resistance zone for the bulls.”
livemint.com
Sources
Related news
Global Stocks Pause Near Records as Hormuz Talks Stall, Oil Rises
Global markets stay cautious on Middle East tensions, oil rebound
Soft US Inflation Boosts Global Markets; India Sees Cautious Start
Global markets swing on Hormuz deal hopes as crude slips
Global Stocks Rise as Yields Ease Before India Opening
Global Markets Turn Cautious as Oil and Tensions Rise
Trump Floats Renaming Strait of Hormuz as ‘Trump Strait’
Chevron Plans $7 Billion Venezuela Expansion Amid U.S. Oil Push
Saudi Arabia Says Iranian Tanker Attack Killed Two Sailors
U.S.-Iran Exchange Escalates Across Middle East, Markets Slide
Trump Aides Seek Quiet Iran War Before Midterm Elections
