Tuesday's Indian stock market is poised to open with optimistic momentum, bolstered by solid international leads and declining oil prices, consequent to the reduced risk of a severe escalation of conflict between Israel and Iran. However, the overall progress might be constrained due to upcoming major updates pertaining to U.S. inflation and corporate earnings this week.
Reliance Industries, spearheaded by Mukesh Ambani, reported a quarterly profit drop of 2 percent, despite surpassing expectations.
On Monday, benchmark indexes such as the Sensex and the Nifty saw a rise by 0.8 percent and 0.9 percent respectively, marking a second consecutive day of gains. The rupee also benefitted, ascending by 7 paise to settle at 83.37 against the dollar.
In contrast, Asian markets exhibited a mixed performance Tuesday morning. Oil maintained its losses from the previous night, while government bonds remained unchanged ahead of several bond auctions. Gold regained some stability after suffering a 2.7 percent drop on Monday.
U.S. stocks experienced a boost at the close of the recent session, following a sell-off in the previous one. The S&P 500 increased by 0.9 percent, breaking a six-day downward trend as concerns of a widespread Middle Eastern conflict subsided, and investors prepared for the announcement of quarterly results from large-scale companies.
Both the Dow and the tech-focused Nasdaq Composite rose by 0.7 percent and 1.1 percent respectively.
European stocks experienced growth on Monday following dovish commentary from the European Central Bank and relaxing of tensions in the Middle East. The Pan-European STOXX 600 moved up by 0.6 percent.
Germany's DAX advanced by 0.7 percent, France's CAC 40 saw a slight increase of 0.2 percent, while optimism that the Bank of England will implement two interest rate cuts this year helped the U.K.'s FTSE 100 to gain 1.6 percent, achieving a record-breaking close.
