Indian Market Set for Cautious-to-Positive Start as Oil Prices Plummet

The Indian equity market is expected to open on a cautious-to-positive note on Monday, supported by easing geopolitical tensions in the Middle East and a sharp decline in crude oil prices. According to analysts, GIFT Nifty indicated a mildly positive start around the 24,565 level.

Brent crude futures tumbled over 6% to USD 82.41 after US President Donald Trump said talks with Iran will happen on Monday. The president stated that Iran and other Middle Eastern countries had sought time to finalize a deal that would result in the 'Immediate, Complete and Total' reopening of the Strait and address 'Iran's nuclear threat.'

Rajesh Palviya, Head of Research at Axis Direct, noted that the decline in oil prices is a constructive development for India as it helps ease inflationary pressures, supports the rupee, and improves the macro outlook. He added that technically, the market continues to maintain a positive bias as long as the Nifty sustains above the 24,250 support zone.

Abhishek Kumar, SEBI RIA, also pointed out that GIFT Nifty is trading around 24,600 (+0.5%), signaling a strong gap-up opening for the Nifty 50, building on Friday's robust close and broader global momentum. Devarsh Vakil from HSL Prime Research noted that Indian indices are breaking out from near-term resistance levels after several months of consolidation.