Gift Nifty in Green; Sensex and Nifty 50 Likely to Open Positive on August 18

India’s benchmark indices, Sensex and Nifty 50, are likely to open on a positive note on Monday, supported by encouraging domestic and global cues over the weekend. 

Prime Minister Narendra Modi proposed significant GST reforms in his Independence Day address, while the meeting between US President Donald Trump and Russian President Vladimir Putin sparked optimism over a possible resolution to the Ukraine conflict.

Gift Nifty Today

The Gift Nifty was trading near 24,894, about 210 points above the previous close of Nifty futures, hinting at a gap-up opening for Indian equities.

Asian Market Overview

Asian shares traded mixed on Monday. Japan’s Nikkei 225 hit a record high, inching up 0.11%, while the Topix climbed 0.25%. In contrast, South Korea’s Kospi slipped 0.85% and the Kosdaq fell 1.28%. Hong Kong’s Hang Seng futures signalled a stronger start.

Wall Street Insights

US markets ended mixed on Friday. The Dow Jones Industrial Average gained 34.86 points (0.08%) to 44,946.12 after hitting an intraday record high. The S&P 500 slipped 18.74 points (0.29%) to 6,449.80, while the Nasdaq Composite lost 87.69 points (0.40%) to close at 21,622.98. For the week, the Dow climbed 1.74%, the S&P 500 rose 0.94%, and the Nasdaq added 0.81%.

Trump–Putin Meeting

On August 15, US President Donald Trump met Russian President Vladimir Putin in Alaska for a high-level summit focused on ending the war in Ukraine. Two days later, ahead of talks with Ukrainian President Volodymyr Zelensky and European leaders, Trump highlighted “big progress” on Russia.

GST Reforms

During his Independence Day speech, Prime Minister Modi unveiled a proposal to overhaul the Goods and Services Tax (GST) structure. The plan includes eliminating the 12% and 28% slabs, with most goods and services currently under these brackets likely to be shifted to 5% and 18%, respectively.

Domestic Market Recap

On Thursday, the Indian stock market closed with modest gains during the holiday-shortened week. 

The Sensex advanced 57.75 points (0.07%) to 80,597.66, while the Nifty 50 rose 11.95 points (0.05%) to 24,631.30.

Also Read: Upcoming IPOs This Week (Aug 18 – Aug 22)!

Conclusion

Overall, a combination of proposed GST reforms on the domestic front and easing geopolitical tensions globally are expected to lift investor sentiment. With Gift Nifty indicating a strong start and supportive cues from Wall Street and Asian markets, Indian equities are likely to open higher and maintain a positive bias in Monday’s session.

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