Stock Market Today: The US stock market ended slightly lower on Monday (local time) as rising crude oil prices, driven by escalating tensions between the United States and Iran, weighed on investor sentiment.
The NASDAQ Composite settled 0.05 per cent, or around 12 points lower, at 25,508.07, while the S&P 500 declined 0.2 per cent to close at 7,443.47. The Dow Jones Industrial Average fell 0.6 per cent, or 305 points, to settle at 51,841.28.
Crude oil prices stay elevated amid US-Iran tensions
Crude oil prices continued to trade close to the USD 90 mark. Brent crude futures were around USD 89 per barrel, while WTI futures rose to USD 82.53.
Rising oil prices generally put pressure on equities by increasing costs, reducing corporate profits, and impacting consumer spending, although energy-sector stocks often benefit.
The increase in crude prices came after US President Donald Trump posted on Truth Social, “Every time Iran kills an American Soldier they will pay for that killing many times over! This directive has been passed on to Secretary of War, Pete Hegseth, Chairman of the Joint Chiefs of Staff, Daniel Caine, and every Leader in the Military.”
Investors await key US corporate earnings
Investors will now focus on earnings from General Motors Company and 3M Company, which are scheduled for Tuesday (July 21). On Wednesday, the second-quarter earnings reports from Tesla and Google are set to kick off Big Tech’s reporting season.
Asian markets trade mixed despite Wall Street weakness
Despite the sell-off in the US markets on Monday, Asian markets started Tuesday’s trading session on a mixed note.
Japan’s Nikkei 225 was trading 0.5 per cent higher, up 314.88 points, at 64,456. South Korea’s KOSPI resumed trading after a three-day halt and was trading nearly flat at 6,532.11.
Hong Kong’s Hang Seng was not trading at the time of writing this report. However, the index had settled more than 2 per cent higher at 25,143.05 in the previous session.
Indian stock market closed lower on July 20
The Indian stock market, comprising the NSE and BSE, closed significantly lower on July 20.
The decline was led by losses in banking and financial stocks as investors remained cautious amid escalating tensions between Iran and the United States and rising crude oil prices.
The 30-share BSE Sensex closed 443 points, or 0.57 per cent lower, at 77,708.52. The NSE Nifty declined 95.80 points, or 0.39 per cent, to settle at 24,238.50.
GIFT Nifty indicates weak opening for Indian equities
Market sentiment for Tuesday’s trading session remained weak, as indicated by GIFT Nifty.
GIFT Nifty was down 0.7 per cent, or 158 points, at 24,125. GIFT Nifty acts as an early indicator of market sentiment, and the decline suggests a cautious start for Indian equities.
Q1 earnings in focus for Indian markets
The Indian stock market will also be closely tracking earnings reports due later in the day from Bajaj Auto, Indian Hotels, JSW Infra, Adani Total Gas, TVS Motor, and more.
Apart from corporate earnings, investors will also monitor developments in the Middle East, which could potentially impact the trajectory of Indian equity indices.
(Disclaimer: The above article is meant for informational purposes only and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
