Markets Steady Amid Geopolitical Easing and Trade Tariff Watch

Domestic markets opened slightly higher on Thursday as geopolitical tensions eased. The Nifty 50 gained 0.10%, while Sensex rose by 0.16%. Investors shift focus to US tariffs and Federal Reserve decisions. In Asia, the Nikkei surged over 1%, whereas South Korea's KOSPI fell by 1.86%.

Domestic stock markets opened on a positive yet flat note Thursday, with reduced geopolitical tensions allowing investors to cautiously anticipate the upcoming US tariff deadline on July 9. The Nifty 50 index started at 25,268.95, securing a modest gain of 24.20 points or 0.10%, while the BSE Sensex marked an increase of 130.90 points or 0.16%, opening at 82,886.41.

Market analysts emphasize the shift back to the US Federal Reserve and the impending tariff deadline as primary focal points. Ajay Bagga, a Banking and Market Expert, noted, "Geopolitical risks have lessened, and a successful NATO summit was positively received by markets concerned with US isolationism. The US Fed and the looming July 9 tariffs have become central issues." As US markets bounce back from recent downturns, indicators like the US PCE number and tariff outcomes will influence further movements.

The early session saw moderate strength in broader market indices, with the Nifty Midcap and Smallcap indexes rising by 0.28% and 0.42%, respectively. Sectoral indices showed gains, notably in Nifty PSU Bank and FMCG. Leading stock performers included BEL, Nestle India, and JSW Steel, while key losers comprised Dr Reddy and Tech Mahindra. Meanwhile, Asia presented mixed results; Japan's Nikkei jumped over 1%, contrasted by a 1.86% fall in South Korea's KOSPI index.

(With inputs from agencies.)