India’s equity benchmarks are likely to open marginally higher on Tuesday, supported by optimism over easing U.S.-China trade tensions and steady domestic earnings, though recent gains may prompt some profit-taking.
Gift Nifty futures were trading at 26,052 points as of 7:40 a.m. IST, indicating that the benchmark Nifty 50 will open above Monday’s close of 25,966.05.
The benchmark has risen 3.3% in the last eight sessions, rising in seven of those, and sits 1.2% below its lifetime high hit in September 2024.
Optimism over a potential U.S.-China trade deal boosted sentiment, as officials from both nations finalised a framework for U.S. President Donald Trump and his Chinese counterpart, Xi Jinping, to decide on later this week.
Investors have also been enthused by the prospects of a Federal Reserve rate cut this week, and expect it to lower borrowing rates further in its upcoming meetings.
Lower U.S. rates typically make emerging markets such as India more attractive to foreign investors.
Meanwhile, focus will also be on the expiry of Nifty October month’s derivatives contracts on the day.
STOCKS TO WATCH
** Indian Oil Corp posts a multi-fold jump in second-quarter profit, boosted by stronger refining margins due to a decline in global crude oil prices
** JK Tyre & Industries posts its first profit increase in five quarters, as a consumption tax cut boosted festive-season demand for vehicles
** Aerospace and auto components supplier Raymond reports lower quarterly profit, as rising expenses outpaced revenue growth