In a sharp selloff on Thursday, benchmark indices ended significantly lower, snapping a three-day winning streak. Analysts expect markets to remain cautious in the near term given escalating geopolitical risks and the possibility of oil supply disruptions.

Any escalation involving Iran could impact shipments through the Strait of Hormuz, which would be particularly negative for India given its heavy dependence on crude imports from the region.

STATE OF THE MARKETS
GIFT Nifty (Earlier SGX Nifty) signals a muted start
GIFT Nifty on the NSE IX traded higher by 13 points, or 0.05 per cent, at 25,418, signaling that Dalal Street was headed for a muted start on Friday.

• Tech View: Follow-up selling on Friday or Monday could lead to a breakdown below the 200DMA, which may reactivate the bearish trend. On the lower end, support is placed at 25,330/25,000, while on the higher end, resistance is seen at 25,650.
• India VIX: India VIX, which is a measure of the fear in the markets, rose 10.1% to settle at 13.46 levels.

US stocks end lower
Wall Street ended lower on Thursday, with losses in private equity companies and weakness in Walmart and Apple, while earnings-driven gains in industrials limited losses.

• S&P 500 down 0.28%,
• Nasdaq dips 0.31%,
• Dow falls 0.54%

Asian shares fall
Asian equities fell as escalating tensions in Iran weighed on sentiment, while oil rose to its highest level since August.

• S&P 500 futures were little changed as of 9:01 a.m. Tokyo time
• Hang Seng futures were unchanged
• Japan’s Topix fell 1%
• Australia’s S&P/ASX 200 fell 0.2%
• Euro Stoxx 50 futures fell 0.9%

Dollar gains
The dollar was poised on Friday to cap its strongest weekly performance since October, buoyed by a run of better-than-expected economic data, a more hawkish Federal Reserve outlook and as tensions between the U.S. and Iran kept markets on edge.Stocks in F&O ban today

SAIL
Sammaan Capital

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.

FII/DII action
Foreign portfolio investors net bought shares worth Rs 880 crore on Thursday. DIIs, meanwhile, were net buyers at Rs 596 crore.

Rupee
The rupee rose 4 paise to close at 90.68 against the US dollar on Wednesday, driven by inflow of foreign funds and positive domestic equity markets. However, higher global crude oil prices and a strengthening greenback capped sharp gains in the local unit.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)