Indian benchmark indices, Sensex and Nifty 50, are expected to open on a strong note on Monday, August 3, supported by easing geopolitical tensions, lower crude oil prices and positive global cues.
Gift Nifty was trading around 24,590 at 7:27 AM, indicating a premium of nearly 150 points over the previous close of Nifty futures and pointing to a gap-up opening of more than 100 points.
Investor sentiment improved after U.S. President Donald Trump announced that fresh negotiations with Iran would begin on Monday after cancelling a planned military strike. The development raised hopes of easing tensions in the Middle East, reducing concerns over energy supplies and inflation. Asian markets traded mostly lower, while Wall Street ended the previous session with solid gains.
Crude oil prices declined sharply following the announcement of renewed diplomatic efforts. Brent crude for October delivery fell as much as 7.3 per cent in early Asian trade after rallying nearly 25 per cent in July, its strongest monthly gain since March. Meanwhile, West Texas Intermediate (WTI) crude slipped below USD 81 per barrel, offering relief to oil-importing economies such as India.
The Reserve Bank of India’s three-day Monetary Policy Committee (MPC) meeting also begins on Monday, with Governor Sanjay Malhotra scheduled to announce the policy decision on August 5. Market participants widely expect the central bank to keep the benchmark repo rate unchanged at 5.25 per cent while maintaining a cautious stance amid global uncertainties and inflation risks linked to developments in West Asia.
Corporate earnings will remain in focus as more than 90 companies are set to announce their April-June quarter results on Monday. Key earnings scheduled include IREDA, SBI Funds Management, Torrent Power, Nazara Technologies and Inox India, which could drive stock-specific movements during the session.
Gold prices edged higher after renewed hopes of diplomacy between the U.S. and Iran boosted demand for safe-haven assets. Bullion traded near USD 4,070 per ounce after posting its first monthly gain since February in July.
Derivative data for the August series indicates a Put-Call Ratio (PCR) of 1.48. Significant put open interest addition was recorded at the 24,350 and 23,400 strike prices, while the highest put open interest remained concentrated at the 24,000 strike. On the call side, the highest addition was seen at the 24,400 strike, while the 24,200 strike witnessed the largest unwinding. The highest call open interest is positioned at the 25,600 strike.
From a technical perspective, the immediate resistance zone for Nifty 50 is placed between 24,500 and 24,550. A sustained move above 24,550 could open the door for an advance towards 24,700. On the downside, 24,000 remains a crucial support level, with a break below it likely to trigger profit booking. Bank Nifty continues to trade in a range, awaiting a decisive breakout for directional clarity.
Stock-specific action is expected across several counters. ITC reported a 14.4 per cent decline in consolidated revenue to Rs 16,908 crore, while net profit fell 27.1 per cent to Rs 3,579 crore and EBITDA margin narrowed to 26.7 per cent. Maruti Suzuki posted a 10.8 per cent decline in net profit to Rs 3,352 crore despite strong revenue growth of 35.9 per cent and also approved four compressed biogas projects worth Rs 561 crore.
Persistent Systems reported a 6.1 per cent sequential rise in revenue to Rs 4,303 crore, although net profit declined 8.7 per cent due to margin pressure. NCC secured fresh orders worth Rs 1,052.71 crore across its Buildings and Water divisions. Lupin received U.S. FDA approval for Diazepam Injection USP, targeting an annual U.S. market opportunity of around USD 77.9 million.
ONGC received 71.57 lakh shares each in Bharat Ethane One IFSC and Bharat Ethane Two IFSC, maintaining a 50 per cent stake in both ventures. Bharat Electronics (BEL) secured additional orders worth Rs 847 crore, improving revenue visibility. Zee Entertainment shareholders approved promoter warrants worth Rs 3,143.5 crore along with 3.74 crore employee stock options.
InterGlobe Aviation said IndiGo will conclude its wide-body damp lease arrangement with Norse Atlantic Airways on October 25, 2026, while reiterating its long-term international expansion strategy. Thomas Cook (India) reported a net loss of Rs 92 crore for the quarter despite a 43.9 per cent rise in revenue to Rs 528 crore. Aadhar Housing Finance delivered a strong performance, with net profit rising 19 per cent to Rs 282 crore and total income increasing 17.1 per cent to Rs 997 crore.
There are no stocks under the F&O ban for Monday’s trading session.
Institutional activity remained supportive on July 31. Foreign Institutional Investors (FIIs) were net buyers of Indian equities worth Rs 277.48 crore, while Domestic Institutional Investors (DIIs) purchased shares worth Rs 2,260.37 crore.
Indian equities ended last week on a strong note, recovering from recent weakness as softer crude oil prices, easing geopolitical tensions, encouraging corporate earnings and renewed FII buying improved investor confidence. Nifty 50 advanced 2.59 per cent to close at 24,383.60, while the Sensex gained 2.68 per cent to settle at 78,094.64. Both benchmark indices also recorded their second consecutive monthly gain in July.
Wall Street closed higher on Friday despite rising Treasury yields. The Nasdaq Composite gained 1 per cent to close at 25,373.85, the S&P 500 rose 0.7 per cent to 7,489.72 and the Dow Jones Industrial Average climbed 276.97 points, or 0.53 per cent, to finish at 52,485.03. Amazon’s gains helped lift overall market sentiment, while the 30-year U.S. Treasury yield touched its highest level since 2007 and the benchmark 10-year yield moved above 4.7 per cent.