Indian equity benchmarks are likely to open flat on Tuesday, chiming trends in broader Asian markets, as investors await domestic inflation data for July and a key US inflation print that could influence near-term interest rate expectations.
The Gift Nifty futures were trading at 24,599.5, as of 7:53 a.m. IST, indicating that the Nifty 50 will open near Monday’s close of 24,585.05.
Other Asian markets were tepid, with the MSCI Asia ex-Japan index edging 0.15 per cent higher. Wall Street fell overnight as investors weighed trade and geopolitical developments ahead of data.
US consumer prices, due to be released later in the day, are likely to influence the US Federal Reserve’s rate-cut trajectory, with markets implying around a 90 per cent probability of rate easing in September and at least another rate cut by the year-end.
Traders showed scant reaction to US President Donald Trump’s executive order extending the tariff truce with China by another 90 days.
Trump is also due to meet Russian President Vladimir Putin in Alaska on Friday to discuss ending Russia’s war on Ukraine.
Investors are keeping an eye on domestic retail inflation data, set to be released after market hours on Tuesday.
Cooling food prices likely reduced retail inflation to an eight-year low of 1.76 per cent in July, below the Reserve Bank of India’s 2-6 per cent tolerance band for the first time in more than six years, a Reuters poll of economists showed.
Both the Nifty and Sensex climbed nearly 1 per cent on Monday, lifted by a post-earnings rally in State Bank of India and Tata Motors. This rebound followed six consecutive weekly losses, driven by concerns over US tariffs and subdued corporate earnings.
Domestic institutional investors have been net buyers of Indian stocks for 26 consecutive sessions, with the flows into equity mutual funds surging to a record high in July, lifting the DIIs’ stake in Indian stocks to an all-time high.
STOCKS TO WATCH
** Bata India logs dip in June-quarter profit on sluggish footwear sales, higher costs
** Hindalco’s unit Novelis reports 67% sequential fall in net profit in the first quarter
** Astral posts 33% drop in consolidated net profit in the June quarter
** Ashoka Buildcon reports 45% rise in first-quarter consolidated net profit
(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Sherry Jacob-Phillips)
Published on August 12, 2025
