Summary of this article
Gift Nifty surges over one percent signaling higher market opening
Trump confirms historic US Iran peace framework easing global tensions
Indian retail inflation rises to nearly four percent in May
Share Market News Today: Sensex, Nifty opened higher today amid renewed optimism following the announcement of a peace deal between US and Iran. The Nifty 50 opened at 23,984.85 up by 361.95 points or 1.53 per cent and the 30-share Sensex opened at 76,725.27 up by 1,197.32 points or 1.59 per cent higher. Earlier today the Gift Nifty opened in the green at 23795, up by 0.7 per cent. In early trade the index surged to 24,047 level up by 1.77 per cent.
The stock market is expected to react to tailwinds such as US President Donald Trump announcing on Truth Social that the United States and Iran have agreed on a framework for a deal to end their war in West Asia.
The development is expected to lead to relief across global markets. Stock market investors are expected to closely watch crude oil prices, other commodity price movements and trade in other Asian markets.
US Iran Peace Deal
US and Iranian officials have reportedly agreed on a framework to end their war. According to a report by the BBC, Pakistan’ Prime Minister, Shehbaz Sharif stated that the deal will be officially signed on June 19 in Switzerland. The report also mentioned that Iran's Deputy Foreign Minister Kazem Gharibabadi has also confirmed that a deal with the US had been finalised. On the other hand, US President Donald Trump posted on social media Truth Social "let the oil flow!". The signing of a peace deal and the reopening of the Strait of Hormuz are expected to ease global anxiety around the supply of crude oil.
India CPI Inflation
On June 12, the Consumer Price Index (CPI) data was released by the National Statistical Office (NSO), which comes under the Ministry of Statistics and Programme Implementation (MoSPI). The data showed that India’s retail inflation increased to 3.93 per cent in May from 3.48 per cent in April. The rise was attributed to increasing food prices. Notably, CPI based inflation in the food basket was 4.78 per cent in May increasing from 4.2 per cent in April. D-street is expected to factor in the development in today’s trade.
Asian Indices Gain In Early Trade
Asian indices started the week on a positive note on June 15 amid reports of de-escalation in the West-Asia conflict and the agreement upon a peace deal between US and Iran. The Tokyo based Nikkei 225 traded higher by 5.46 per cent. South Korea’s Kospi traded higher by 5.73 per cent in early trade. The Hong Kong based Hang Seng traded higher by 0.63 per cent in early trade and Shanghai Composite index traded 0.93 per cent higher at the time of writing. The Indian stock market is expected to track the gains seen in Asian peers on June 15.
US Dollar Index
On June 15, the US Dollar Index (DXY) opened slightly lower before slumping to the 99.42 level at the time of writing. Notably the index measures the strength of the US Dollar by comparing it to a basket of major currencies.
Crude Oil Prices
Crude oil prices fell with the Brent Oil Futures trading around $83.07 down by 4.88 per cent in early trade. On the other hand West Texas Intermediate Crude prices traded lower by 5.67 per cent at $80.07. Crude prices fell amid the announcement of an agreement for a peace deal between US and Iran and easing supply chain concerns.
Gold and Silver Prices
According to the Goodreturns website 10 grams of gold of 24-carat purity gold rate is trading at Rs 1,49,070, while 22-carat gold is trading around Rs 1,36,640. On the other hand silver prices traded at Rs 2,59,900 per kg.
