Indian equity markets are expected to open on a weaker note on Monday, the first trading session of the week, amid rising global uncertainty, escalating geopolitical tensions in the Middle East and a sharp increase in crude oil prices.
At around 7:30 a.m., Gift Nifty was trading lower by 168 points, or 0.71 percent, at approximately 23,540, indicating a subdued opening for domestic benchmark indices. Asian markets also witnessed selling pressure, further weighing on investor sentiment.
Global oil prices surged amid escalating geopolitical tensions in the Middle East. Recent developments involving Iran and increasing military discussions between the United States and Israel have heightened volatility in international markets. Reports indicated that the situation became more sensitive following an attack on a nuclear power plant in the UAE.
Reports also suggested that US President Donald Trump could discuss potential military options against Iran, intensifying concerns over global energy supply disruptions.
During early trade in the Indian session, WTI crude rose around 2.23 percent to $107.77 per barrel, while Brent crude gained nearly 1.82 percent to trade at $111.25 per barrel. The sharp rise in oil prices could increase concerns related to inflation and trade deficit for import-dependent economies such as India.
Several companies are scheduled to announce their fourth-quarter results on Monday, which could drive stock-specific activity in the market. Companies expected to remain in focus include Indian Oil Corporation, Ola Electric Mobility, Astral, Indraprastha Gas, Triveni Turbine and Zydus Wellness.
Quarterly earnings from DOMS Industries, GE Vernova T&D India, JSW Cement, Puravankara and Strides Pharma Science are also expected to influence market direction.
Tata Steel reported a 147 percent year-on-year increase in net profit to Rs 2,965 crore for the quarter, while revenue rose 12.5 percent to Rs 63,270 crore.
ITC Hotels posted a 23 percent increase in profit to Rs 315.9 crore. Revenue grew by more than 18 percent during the quarter.
Power Grid Corporation of India reported nearly 10 percent growth in profit, although revenue declined during the period. Steel Authority of India Limited reported a rise of more than 46 percent in profit.
Godfrey Phillips India also reported higher earnings, with profit rising more than 86 percent alongside double-digit revenue growth.
The coal sector could remain in focus after the government approved the potential listing of Mahanadi Coalfields, a subsidiary of Coal India.
RBL Bank said the regulatory approval process for the strategic investment proposal by Emirates NBD Bank has been completed, which could lead to increased activity in banking stocks.
Business updates related to Adani Ports and Special Economic Zone, HFCL and Aurobindo Pharma are also expected to remain in focus among investors.
