GIFT Nifty Points Towards Losing Start In India’s Stock Markets Amid Rise In Crude Oil Above $95 Per Barrel | June 2, 2026

The Indian equity markets are expected to start weakly on Tuesday with GIFT Nifty predicting losses on the opening as crude oil prices move sharply higher along with political tensions in the Middle East.

GIFT Nifty was trading at 23,297 in early deals, indicating a negative opening for domestic benchmarks. The signal comes after a weak close on Monday, when the Nifty 50 declined 165.15 points, or 0.70%, to settle at 23,382.60, while the Sensex fell 508.40 points, or 0.68%, to end at 74,267.34.

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Oil Prices Remain In Focus

Crude oil markets remained at the centre of investor attention after posting their strongest single-day advance in about a month. Brent crude for August delivery traded above $95 a barrel after surging 4.2% in the previous session. U.S. benchmark West Texas Intermediate hovered near $92 a barrel.

The development in and around the Strait of Hormuz is being watched carefully by the participants of the market, as any problem arising in the area could lead to problems regarding the flow of oil in the international market, which in turn may affect energy prices globally.

Rising crude oil prices are normally watched carefully in India, a country that heavily depends on foreign oil imports. Rising energy prices could potentially have an impact on inflation and business expenses.

Asian Markets Lower

Almost all major Asian markets fell on Tuesday, after assessing geopolitical events and their possible impact on growth and commodity prices internationally.

Japan's Nikkei 225 dropped 1.06%, while South Korea's Kospi declined 0.63%. China's Shanghai Composite slipped 0.01%, while Hong Kong's Hang Seng Index traded largely unchanged.

U.S. equity futures also pointed to a cautious start. Futures linked to the S&P 500 fell 0.2%, Nasdaq 100 futures declined 0.3%, and Dow Jones Industrial Average futures were down 122 points, or 0.2%.

Developments Around Iran And Lebanon

Iranian state media reported that Tehran had suspended negotiations with the United States aimed at ending the conflict in the Middle East, citing objections to Israel's actions in Lebanon.

The move followed comments by Israeli Prime Minister Benjamin Netanyahu about potential attacks on Dahiyeh, a southern suburb of Beirut linked to Hezbollah. The comments triggered concerns about a further escalation in regional tensions.

U.S. President Donald Trump later stated through a social media post that discussions with Iran were continuing and that he expected progress on extending the ceasefire and reopening the Strait of Hormuz. He also said he had held conversations with Netanyahu and representatives of Hezbollah regarding efforts to halt hostilities.

Crude oil prices remain high and geopolitical tensions continue to play out and investors will be very interested in overseas developments as the domestic market comes back to trade.