Stock market opening today: Will Sensex, Nifty crash again on June 16?
The stock market is expected to open on a flat note today, following a period of losses attributed to geopolitical tensions in the Middle East. The ongoing conflict between Israel and Iran continues to weigh heavily on market sentiment.The Gift Nifty futures were trading at 24,807 as of 8:12 am, suggesting that the Nifty 50 index is likely to open near its previous close of 24,718.6.advertisement"Nifty could gain support between 24,450 and 24,330 and meet resistance between 24,750 and 24,860 in today's market session. From here on, dips in the Nifty index should be viewed as buying opportunities for long-term investments," said VLA Ambala, Co-Founder of Stock Market Today.
Geopolitical tensions have intensified as Israel and Iran engaged in further military strikes over the weekend, resulting in civilian casualties and escalating regional unrest.This backdrop has kept market participants cautious, contributing to the subdued performance of Asian markets, where the MSCI Asia ex-Japan index fell by 0.2%.The rise in oil prices, driven by supply concerns in the already volatile Middle East, poses an additional challenge for India, an importer of crude oil."The ongoing conflict between Israel and Iran could trigger uncertainties in the broader market. The recent increase in crude oil prices could also add to inflationary pressure and impact broader economic stability," Ambala remarked.advertisementIn the midst of these conditions, foreign institutional investors (FIIs) have maintained their selling stance for a third consecutive session, resulting in net outflows of Rs 54,020 crore in June alone.Conversely, domestic institutional investors (DIIs) have continued their buying spree for the 19th straight session, attempting to stabilise the market amid external pressures. With the geopolitical situation showing no signs of easing, investors remain vigilant to potential fluctuations in the market and the broader economic implications of persistent oil price hikes.The impact of these geopolitical tensions is not limited to the stock market alone. The broader economic landscape could also experience significant shifts as a result of these developments. The potential for increased inflationary pressures due to rising oil prices is a concern for policymakers, especially in import-dependent economies like India.Moreover, the sustained outflow of foreign investments could lead to a depreciation of the local currency, further complicating the economic scenario. As investors navigate these turbulent times, strategic positioning and cautious optimism may be key in weathering the storm.Additionally, the ongoing geopolitical tensions have led to increased volatility in the global markets, affecting investor confidence worldwide. This uncertainty may result in cautious trading behavior, with investors looking for safe-haven assets.(Disclaimer: The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.)Must Watch
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