Indian Stock Market Expected to Open Flat Amidst Rising Oil Prices

The Indian stock market benchmark indices, Sensex and Nifty 50, were expected to open flat on Wednesday, August 12. Asian markets opened mixed as US stock futures fell for a second session straight.

The previous day, the Indian stock market closed sharply lower due to rising oil prices and uncertainty surrounding the Strait of Hormuz and US-Iran agreement. The Sensex declined by 388 points, or 0.49%, to settle at 78,154.25, while the Nifty 50 dropped 112 points, or 0.46%, to close at 24,471.70.

Investor sentiment remained subdued due to a renewed rise in crude oil prices, with Brent crude moving towards $90 per barrel. Higher crude prices have revived concerns over imported inflation, the rupee, and corporate margins. Weak global cues and profit booking following the recent rally further weighed on market sentiment.