Nikkei, Kospi to US stocks: Global equity heatmap you must know before the opening bell of the Indian stock market today

Global markets today: The Indian stock market may trade with a cautious bias on Wednesday, as persistent uncertainty surrounding the US-Iran deal continues to weigh on investors' sentiment. Overnight cues from Wall Street were subdued, while Asian markets are trading mixed in early morning deals. The Japanese Nikkei 225 index edged higher, while the South Korean KOSPI stocks were trading higher by a sizeable margin.

On triggers weighing on global market sentiment, Ponmudi R, CEO at Enrich Money, said, “On the geopolitical front, reports that regional mediators have travelled to Tehran in an effort to advance peace negotiations have raised hopes of renewed diplomatic progress."

However, Ponmudi said that reports of fresh attacks on shipping in and around the Strait of Hormuz and the Red Sea, coupled with the absence of a clear roadmap toward a final agreement, continue to keep market participants in a wait-and-watch mode.

Crude oil price sustains at higher levels

WTI crude oil remains elevated in the $83–$84 per barrel range, keeping concerns over inflation, India's import bill, corporate margins, and rupee stability firmly in focus. Meanwhile, forecasts indicating weaker monsoon activity across parts of western and southern India over the next fortnight will be another key factor to watch, given their potential implications for agriculture, rural demand, and the broader inflation outlook.

Global markets' equity heatmap

Here we list out the equity heatmap of the global markets today:

US stocks

The US equities edged lower on Tuesday, extending their modest retreat from record highs as investors turned cautious ahead of the closely watched US inflation report and monitored escalating tensions between Washington and Tehran. The S&P 500 declined 0.32%, the Nasdaq Composite fell 0.60%, and the Dow Jones Industrial Average lost 0.34%.

Pointing towards the geopolitical tension weighing on the US stock market, Ponmudi R of Enrich Money said, “President Donald Trump rejected Iran's demand for war reparations, saying he would instead rely on continued economic pressure, reinforcing market concerns that a diplomatic breakthrough may not be imminent.”

Asian markets today

Asian markets are trading mixed on Wednesday as investors remain cautious ahead of the US inflation report and continue to monitor developments surrounding the Strait of Hormuz.

South Korea's Kospi advanced nearly 4%%, extending its recent outperformance, while Japan's Nikkei 225 traded broadly flat after Monday's strong rally and Tuesday's market holiday. Hong Kong's Hang Seng index is down by nearly 1%.

China's Shanghai index is trading flat, with marginal gains, while Indonesia's IDX Composite index is uparound 1%.

European Markets: DAX hits record high, Germany outperforms

European equities closed mixed on Tuesday, with performance diverging across the region even as major benchmarks remained close to record highs.

The pan-European STOXX 600 finished broadly unchanged, while London's FTSE 100 and France's CAC 40 also ended little changed. Germany's DAX, however, outperformed, climbing to a fresh record high, led by Siemens Energy after reports that the company booked the most gas turbine orders in the second quarter. The divergence highlighted the uneven impact of energy-price volatility across European markets.

What does it mean for the Indian stock market today?

Reflecting the mixed global backdrop, GIFT Nifty futures are trading just above the 24,550 mark, compared with the Nifty's previous close of 24,471, indicating a flat-to-mildly positive start for domestic equities.

Expecting a cautious start for the Indian stock market today, Ponmudi R of Enrich Money said, “Indian equity markets are expected to trade with a cautious undertone as persistent uncertainty surrounding the US-Iran negotiations continues to weigh on investor sentiment.”

Nifty 50 to Sensex today: Outlook for key indices

Speaking on the outlook for the Nifty 50 / Sensex today, Shrikant Chouhan, Head Equity Research at Kotak Securities, said, “We are of the view that 24,550/78500 would act as a key resistance zone for traders. As long as the market trades below this level, weak sentiment is likely to persist. Below this, the market could retest the 20-day SMA (Simple Moving Average) or the 24,250-24,300/77500-77700 levels. On the flip side, above 24,550/78500, the sentiment could change. If the market moves above this level, it could bounce back to 24,650-24,700/78800-79000."

On the outlook for the Bank Nifty today, Vatsal Bhuva, Technical Analyst at LKP Securities, said, “The Bank Nifty index closed with a small candlestick below its 200 DMA, while finding support near the 50 DMA, where some buying interest emerged. The index remains stuck in a congestion zone between these crucial moving averages, indicating a shift in sentiment and a cautious market setup. In the near term, Bank Nifty is expected to trade within the 57,000–57,800/58,000 zone with a bearish undertone. Immediate support is at 57,000, while resistance is at 57,800. A decisive breakout from this range may determine the next directional move."

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.