Indian Shares Seen Little Changed At Open

(RTTNews) - Indian shares are seen opening little changed on Tuesday as investors await more clarity on the U.S.-Iran peace deal.

U.S. Vice President JD Vance told Fox News that President Donald Trump may decide to release the full text of agreement with Iran before Friday.

The agreement, which was electronically singed by leaders in the U.S. and Iran, is expected to be signed in person on Friday in Geneva.

Benchmark indexes Sensex and Nifty jumped around 1 percent each on Monday to extend gains from the previous session after U.S. President Trump announced a tentative peace deal with Iran.

The rupee gained 47 paise to close at 94.71 against the dollar. India's trade deficit narrowed marginally to $28.21 billion in May from $28.38 billion in April as higher exports on the back of a weaker rupee offset pat of the import bill, government data showed on Monday.

Separate set of data from the Ministry of Commerce revealed that India's wholesale price inflation accelerated further to 9.68 percent in May from 8.26 percent in April under new 2022-23 base, largely driven by soaring fuel costs caused by the impact of the Middle East war.

FIIs turned net buyers of Indian equities for the first time in 11 trading sessions on Monday, buying shares worth Rs. 200.05 crore on a net basis, while domestic institutional investors net bought shares to the extent of Rs. 3,189 crore, according to provisional exchange data.

Asian markets were mixed in cautious trade this morning as focus shifted to a slew of central bank decisions due this week.

The dollar held near a 10-day low, while gold was little changed at $4,310 an ounce after hitting a more than one-week high in the previous session. Oil prices edged up slightly after settling at a three-month low overnight. U.S. stocks rose sharply overnight, with the U.S.-Iran peace agreement and tumbling oil prices boosting sentiment.

President Donald Trump said a deal with Iran is "now complete" and authorized the "toll free opening" of the Strait of Hormuz and the immediate removal of the U.S. blockade of Iranian ports.

The U.S.-Iran ceasefire is likely to be extended for 60 days, with the countries set to use that window to negotiate over Iran's nuclear enrichment and the disposal of its highly enriched uranium.

While the Dow surged 0.9 percent to reach a new record closing high, the tech-heavy Nasdaq Composite soared 3.1 percent amid continued optimism over SpaceX and the artificial intelligence trade. The S&P 500 added 1.7 percent.

European stocks ended modestly higher on Monday, giving up some earlier gains sparked by the interim U.S.-Iran agreement to reopen the Strait of Hormuz.

The pan-European STOXX 600 edged up by 0.2 percent. The German DAX rallied 1.1 percent and France's CAC 40 gained 0.4 percent while the U.K.'s FTSE 100 dropped 0.4 percent as tumbling oil prices sent energy stocks such as BP Plc and Shell sharply lower.