Stock market today: The Indian stock market is expected to open lower on Tuesday, 1 September, amid weak global cues and elevated crude oil prices due to fresh escalations in US-Iran tensions.
The Gift Nifty, or the Nifty futures contracts traded on the NSE International Exchange (NSE IX) at GIFT City, Gujarat, was signalling a negative start for the domestic stock market. Around 6:35 AM, the Gift Nifty was trading around 24,207, indicating a discount of nearly 44 points to the previous close of Nifty futures.
The domestic market benchmarks ended lower in the previous session, with the Nifty 50 settling at 24,080, down 0.39%. The 30-share Sensex lost 0.40% to close at 76,957.
Global markets
The ended lower overnight, with the S&P 500 losing 25.62 points, or 0.33%, to end at 7,686.14 and the Nasdaq Composite shedding 31.53 points, or 0.12%, to close at 26,370.89, as investors took money off the table amid a jump in crude oil prices after tensions between the US and Iran flared up.
Rising oil prices drove US bond yields higher, reviving concerns about further inflation and prompting a tighter monetary policy.
Crude oil prices
Oil price benchmark Brent crude futures jumped nearly 1% to trade above $91 per barrel amid simmering US-Iran tensions. In the previous session, Brent jumped nearly 3%, at one point reaching its highest since August 25, and WTI also rose by almost 3%, touching its highest since August 21.
US-Iran conflict
As reports suggested, the US and Iran have launched strikes against each other for the first time in about a month as the US forces hit an island in the Strait of Hormuz and Iranian forces launched attacks on the United Arab Emirates and Jordan.
US President has sharply criticised Iran, calling it a “Failed Nation” and claiming that the country is facing severe economic, military and political turmoil.
In a post on Truth Social, Trump wrote: “Iran is officially a Failed Nation. IT IS DEAD!”
Trump claimed that Iran has lost key military and economic capabilities, alleging that the country has “no Navy” and “no Air Force” and that its currency has collapsed.
Stock market today
The domestic market is expected to remain subdued due to the lingering US-Iran conflict, rising oil prices, and rising US bond yields.
However, better-than-expected numbers may support sentiment. India’s GDP grew by 7.8% in the April-June quarter of FY27 (Q1FY27), negating the impact of the conflict in West Asia, the late onset of the southwest monsoon, and uncertain tariff policies.
On the technical front, Nifty has slipped below 24,100 but managed to hold 24,000.
According to Shrikant Chouhan, the head of equity research at Kotak Securities, if the index manages to trade above 24,000, then we could see a quick technical pullback from the current levels. On the higher side, it could bounce up to 24,200-24,300. However, below 24,000, selling pressure may accelerate, and the index could slip to 23,850-23,800.
Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, believes the crucial lower area of 24,000 (the recent swing low and the previous opening upside gap of 29th July) continues to offer support for the market and led to a minor recovery from the lows on Monday. As long as this support holds, there is a chance of a further near-term bounce in the market.
Stocks to buy today
What to buy amid such a market set-up? Three market experts – Sumeet Bagadia of Choice Broking, Ganesh Dongre of Anand Rathi, and Shiju Koothupalakkal of Prabhudas Lilladher- recommended the following eight buy-or-sell stocks for intraday trading on Tuesday:
Expert: Sumeet Bagadia, Executive Director at Choice Broking
Lenskart Solutions | Buy at ₹662 | Target price: ₹716 | Stop loss: ₹635
Piramal Finance | Buy at ₹2,300 | Target price: ₹2,484 | Stop loss: ₹2,208
Expert: Ganesh Dongare, Senior Manager of Technical Research at Anand Rathi
Blue Star | Buy at ₹1,470 | Target price: ₹1,530 | Stop loss: ₹1,440
TVS Motor Company | Buy at ₹4,320 | Target price: ₹4,430 | Stop loss: ₹4,250
Cipla | Buy at ₹1,415 | Target price: ₹1,465 | Stop loss: ₹1,390
Expert: Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher
Fujiyama Power Systems | Target price: ₹488 | Stop loss: ₹448
Greaves Cotton | Target price: ₹215 | Stop loss: ₹192
Computer Age Management Services (CAMS) | Target price: ₹825 | Stop loss: ₹764
(With inputs from Reuters and Bloomberg)
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Disclaimer: This article is for educational purposes only and does not constitute investment advice. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.