The stock market is expected to open flat on Wednesday, June 18, as tensions in the Middle East continue to rise. This has pushed oil prices higher, making investors more cautious. Global uncertainty and risk-averse behaviour may influence the market mood in today’s session.
As of 8:23 am, Gift Nifty futures were trading at 24,852. This suggests that Nifty50 is likely to begin the day close to Tuesday’s closing level of 24,853.4.
VLA Ambala, a Sebi-registered research analyst and co-founder of Stock Market Today, said that Nifty could find support in the range of 24,730 to 24,650. On the higher side, resistance may appear between 25,080 and 25,150 during intraday trade.
WEAK GLOBAL CUES
Other Asian markets were also under pressure in early trade. The MSCI Asia ex-Japan index fell by 0.5%. Meanwhile, Wall Street closed in the red overnight. This happened as the war between Israel and Iran entered its sixth day. With no signs of the conflict easing, investors are worried it could spread further across the oil-rich region.
Crude oil prices have gone up due to these worries. This rise in oil costs is not good news for countries like India, which import most of their oil needs. Higher oil prices increase the country’s import bill, and can impact inflation and currency value.
Adding to the global concerns, investors are also waiting for the U.S. Federal Reserve’s policy decision due later tonight. While the Fed is expected to keep interest rates unchanged, people will be watching closely for any changes in the central bank’s future economic outlook and rate projections.
