Share Market Pre-open Updates – June 12, 2025

Flat to Negative Start Expected for Nifty, Sensex Amid Lacklustre Global Trends

On Thursday, June 12, Indian equity benchmarks are likely to open on a cautious note. As of 7:18 AM, the GIFT Nifty was trading near the 25,167 mark, down 34 points from its previous close. 

Asian markets traded mixed, while Wall Street closed lower overnight as investors opted for profit booking following a recent rally. However, a key positive development emerged—US inflation came in lower than expected, offering some relief amid ongoing concerns over tariffs and trade tensions.

Two major headlines from the US are drawing attention:

1. Former President Donald Trump has stated that China could face tariffs as high as 55%, as he signals support for new trade agreements. At the time of writing, Chinese President Xi Jinping had yet to give his final approval on the proposed terms.
2. From confrontation to possible conciliation—Elon Musk has expressed regret over some of his past remarks about Trump. Interestingly, the former US President has also hinted at a possible reconciliation, marking another twist in their evolving relationship.

Regarding the institutional flow, the DIIs in Indian equities have remained net buyers for the past 17 trading sessions. 

Institutional Flows – FIIs and DIIs

On Thursday, June 11, Foreign Institutional Investors (FIIs) were net sellers, having sold equities worth ₹446.31 crore. Domestic Institutional Investors (DIIs), on the other hand, bought shares totalling ₹1,584.87 crore during the same session.

Wednesday’s Market Action

On Wednesday, Indian equity markets closed slightly higher, with the Nifty 50 managing to finish above the 25,100 mark. The Sensex rose by 123.42 points, or 0.15%, ending the session at 82,515.14, while the Nifty 50 climbed 37.15 points, also up 0.15%, to settle at 25,141.40. India VIX has dropped to the 13.66 mark.

Morning Cues from Asian Peers

Asia markets traded mixed as investors assessed the US-China trade deal.

Wall Street – Wednesday’s Recap

U.S. stock markets closed in the red on Wednesday, pressured by ongoing tensions in the Middle East. The Dow Jones Industrial Average finished nearly unchanged at 42,865.77. The S&P 500 slipped by 0.27% to settle at 6,022.24, while the Nasdaq declined 0.50%, ending the session at 19,615.88.

Consumer prices in the United States saw a modest rise in May, increasing by just 0.1%, following a 0.2% gain in April. On an annual basis, the Consumer Price Index (CPI) grew by 2.4%, compared to 2.3% in the previous month. 

In a major development on global trade, U.S. President Donald Trump confirmed that a trade agreement with China has been finalised. This follows an earlier consensus between negotiators from both countries on a new framework to revive the trade truce. According to Trump, the revised terms will see the U.S. imposing 55% in tariffs, while China’s share stands at 10%.

Gold Prices

Gold prices moved higher as growing tensions in the Middle East increased investor interest in safe-haven assets. Additionally, weaker-than-expected U.S. inflation figures bolstered expectations of a potential rate cut by the Federal Reserve. Spot gold rose by 0.3%, reaching $3,364.10 per ounce, while U.S. gold futures advanced 1.2% to settle at $3,384.40.

Crude Oil Prices

Crude oil extended its rally, touching a more-than-two-month high due to concerns over intensifying geopolitical risks in the Middle East. Brent crude inched up 0.1% to $69.84 per barrel, and U.S. West Texas Intermediate (WTI) gained 0.16% to $68.26. On Wednesday, both benchmarks recorded over 4% gains.

Dollar Index

The U.S. dollar weakened as traders raised their bets on possible rate cuts by the Federal Reserve. The dollar index dropped to 98.327, its lowest since April 22. 

Disclaimer: The article is for informational purposes only and not investment advice.