Oil Prices Ease, Nvidia Earnings Boost India Stock Market
India's stock market is poised for a higher opening on Thursday, as oil prices ease following news that Iran and Oman are working to finalize an agreement regarding the Strait of Hormuz. The Nifty futures were at 24,360.50 points as of 8:12 am IST, indicating a positive start for the Nifty 50, which closed at 24,207.75 on Wednesday.
The decline in oil prices was also buoyed by the strong quarterly revenue report from Nvidia, which saw its revenue more than double and forecast third-quarter revenue above Wall Street expectations. This boosted sentiment in the technology sector, leading to a 0.7% rise in the MSCI's broadest index of Asia-Pacific shares excluding Japan.
However, the broader global backdrop remains mixed, with annual US inflation holding steady at 2% for a 65th consecutive month. This has added to debate over the Federal Reserve's next policy move. The domestic benchmarks Nifty and Sensex fell 0.5% and 0.2% on Wednesday, dragged by IT and Reliance.
Foreign portfolio investors remained net buyers in Indian markets for the third straight session on Wednesday, with net purchases of 5.03 billion rupees ($52.72 million). Overseas investors have bought Indian stocks worth $2.85 billion in August so far, the highest since September 2024, according to data from the National Securities Depository.