The Indian stock market is likely to stage a sharp reversal in Tuesday’s trading session, after the heavy selloff seen today, as signalled by the Gift Nifty futures following US President Donald Trump’s comments that signalled a breakthrough in the Middle East conflict.
Trump, in a post on the social media platform Truth Social, suggested that the US and Iran have had constructive conversations over the last two days regarding the “complete and total resolution of our hostilities in the Middle East”.
He further said that he has asked the Department of Defence to postpone “any and all” military strikes against Iranian power plants and energy infrastructure for five days.
This resulted in a sharp decline in the US dollar and a spike in the Gift Nifty futures and a recovery in the gold and silver prices.
Gift Nifty futures surged to 23,533.50 as against the last close of 22,465, recording a 1,068.5-point or 4.75% upside. As of 5.20 pm IST, the Gift Nifty futures were 853.50 or 3.80% higher at 23,318.50.
The Indian markets have come under intense selling pressure as the US-Israeli war against Iran has stoked inflation and macroeconomic concerns amid boiling crude oil prices.
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