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Key Points

Indian markets closed higher as investors awaited progress on the India-US trade deal, with Sensex gaining 270 points. Key sectors like banking and IT showed positive movement, while broader indices remained subdued. The rupee strengthened to 85.65, supported by lower crude prices and reduced FII selling. Analysts noted bullish technical patterns, suggesting further upside if resistance levels are breached.

Key Points: Indian Markets Rise as India-US Trade Deal Nears Finalization

  • Sensex climbs 270 points as India-US trade deal optimism grows
  • Nifty settles higher but broader midcap and smallcap indices lag
  • Rupee strengthens to 85.65 amid easing FII pressure
  • Analysts highlight bullish technical signals with support at 25,400
2 min read

Indian market settles in positive territory as 'mini' India-US deal inches closer

Sensex and Nifty gain as investors anticipate India-US trade agreement, with key sectors showing positive momentum amid cautious optimism.

"While sentiment remains cautiously optimistic about a potential deal, the lack of formal confirmation has restrained fresh buying activity. – Vinod Nair, Geojit Investments"

Mumbai, July 8

The Indian stock market closed in positive territory on Tuesday, inching up in a range of 0.3 per cent, as investors remained cautious ahead of the India-US trade deal which is likely to materialise soon.

Sensex closed at 83,712.51, up 270.01 points or 0.32 per cent against the previous session's closing of 83,442.50. The 30-share index hit an intra-day high at 83,812.31 after starting the session in negative territory at 83,387.03.

Nifty settled 61.20 points or 0.24 per cent high at 25,522.50.

The Indian equity market remained largely range-bound as investors awaited definitive progress on the India-US trade agreement, said analysts.

“While sentiment remains cautiously optimistic about a potential deal, the lack of formal confirmation has restrained fresh buying activity," Vinod Nair, Head of Research, Geojit Investments Limited.

Moreover, the US decision to extend the deadline for implementing 25 per cent tariffs on key trading partners has led investors to adopt a more defensive approach, Nair added.

Kotak Bank, Adani Ports, Eternal, NTPC, BEL, Power Grid, Infosys, Tata Motors, and HDFC Bank were settled in green from the Sensex basket, while Mahindra and Mahindra, Reliance, Bharti Airtel, TCS, HCL Tech, and Sun Pharma ended the session in negative territory.

Meanwhile, 27 stocks advanced and 23 declined from the Nifty50. Among the broader indices Nifty Midcap 100, Nifty Smallcap 100 closed lower, while Nifty 100 surged.

The majority of sectoral indices settled in green. Nifty Finance Services closed 0.68 per cent, Nifty Bank ended 0.54 per cent higher, and Nifty IT rose 0.30 per cent.

Rupak De from LKP Securities said the index has moved up after a consolidation on the hourly chart, improving sentiment for the bulls.

“On the daily chart, the Nifty formed a green candle following a hammer and a doji pattern. This type of setup often indicates a potential positive move ahead. On the lower end, support is placed at 25,400, while on the higher end, resistance is seen at 25,600 and 25,750–25,800,” he mentioned.

The rupee traded strongly, gaining 0.20 rupees or 0.23 per cent to close at 85.65. Softer crude prices and easing FII selling pressure supported the currency.

According to analysts, the rupee is expected to remain firm within a range of 85.25 to 86.00 in the near term.

- IANS

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Reader Comments

S
Sarah B
As an NRI investor, I'm cautiously optimistic. The rupee stability is encouraging, but I'd wait for concrete details before making big moves. The IT sector performance is particularly interesting to watch.
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Ananya R
Why is Reliance underperforming when the market is up? This volatility makes no sense to retail investors like me. The analysts should explain sector-wise movements better. 🤔
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Vikram M
Good to see banking and finance sectors leading the charge! This mini-deal could be the boost our economy needs after the election uncertainty. Fingers crossed for more green days ahead!
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Kavya N
The technical analysis is helpful, but can we trust these patterns? Last month's predictions were completely off. Maybe we should focus more on fundamentals than candle shapes.
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Rajesh Q
Adani Ports performing well is no surprise - our maritime sector is booming! This US deal should include more port infrastructure partnerships. Make in India needs strong logistics support.

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