Indian equities are unlikely to witness any sharp reaction to the outcome of the Trump–Putin summit in Alaska, as investors had not priced in any major breakthrough from their first face-to-face meeting, according to market analysts.
Avinash Gorakshkar, a fundamentals analyst, said the outcome was broadly in line with expectations. “The most-awaited Trump–Putin meeting has ended with progress without any deal. Both leaders agreed to meet again, which is a good sign for the global economy. But for Dalal Street, there is no surprise element — and hence no immediate trigger for a sharp move,” he noted.
Instead, traders are likely to focus on domestic and macroeconomic drivers. Prime Minister Narendra Modi’s announcement of next-generation GST reforms in his Independence Day speech is expected to bolster sentiment, particularly in consumption-oriented sectors such as FMCG, consumer durables and agriculture. Easing inflation, favourable monsoon conditions, and expectations from the upcoming US Fed minutes will also steer the market mood.
While Foreign Institutional Investors (FIIs) remained net sellers last week, offloading nearly ₹10,000 crore, strong Domestic Institutional Investor (DII) inflows of ₹19,000 crore cushioned the downside. Broader markets rebounded, with pharma and auto stocks leading gains, though FMCG lagged.
Technically, the Nifty 50 has built a support base at 24,350, with immediate resistance at 24,700–24,800. A breakout above this zone could set the stage for further upside towards 25,225, while support remains firm at 24,350. Bank Nifty faces a similar setup with resistance around 55,800 and support at 55,000.
Overall, analysts suggest that the Trump–Putin summit is a “neutral” event for Indian markets, with GST reforms, the US Fed’s policy outlook, and domestic macro strength expected to dominate trading direction in the week ahead.
(With inputs from livemint.com)
