Indian benchmark indices witnessed a sharp sell-off on 8 June amid weakness in global markets, escalating geopolitical tensions, and a surge in crude oil prices, raising concerns over inflationary pressures and their potential impact on economic growth. Analysts say Nifty after the recent corrective decline has approached the immediate support area of 23,000-23,200 being the confluence of the April 8 bullish gap area and the 61.8% retracement of the previous pullback (22,182-24,601).

STATE OF THE MARKETS

Gift Nifty (Earlier SGX Nifty) signals a muted start.

Tech View: A move above and sustained trading beyond 23,125 could trigger a meaningful recovery towards the 23,250–23,300 zone. On the downside, a breach below 23,070 may invalidate the pattern and drag Nifty below the 23,000 mark.

India VIX: India VIX, which is a measure of the fear in the markets, rose 8% to settle at 17.03 levels.

S&P 500 futures were little changed as of 9:01 a.m. Tokyo time

Hang Seng futures were little changed

Japan’s Topix rose 0.8%

Australia’s S&P/ASX 200 fell 1.3%

Euro Stoxx 50 futures rose 0.2%

The euro was little changed at $1.1528

The Japanese yen was little changed at 160.19 per dollar

The offshore yuan was little changed at 6.7856 per dollar

The Australian dollar was little changed at $0.7038

Oil prices inched up in early trade on Tuesday after Iran and Israel left the door open to a possible resumption of attacks on each other, though they had called a halt to hostilities following an appeal from U.S. President Donald Trump.

Brent crude futures rose 13 cents, or 0.14%, to $94.38 a barrel at 0001 GMT, while U.S. West Texas Intermediate were up 11 cents, or 0.12%, at $91.41 a barrel.

Stocks in F&O ban today

Securities in the ban period under the F&O segment include companies in which the security has crossed 95% of the market-wide position limit.

Foreign portfolio investors net sold shares worth Rs 5,555 crore on Monday. DIIs, meanwhile, were net buyers at Rs 5,165 crore.

The rupee depreciated 43 paise to settle at 95.61 against the American currency on Monday, pressured by elevated crude oil prices and the strength of the US dollar in the overseas market due to higher risk aversion amid escalating geopolitical tensions.