Indian equities rose in early trade after U.S. President Donald Trump delayed a military strike on Iran and said diplomatic efforts were approaching a resolution. Global markets and easing crude prices contributed to the positive momentum.
Trump called off the planned large-scale military action on the condition that progress is made in talks over the Strait of Hormuz and Iran's nuclear activities. This helped reduce fears about rising inflation and higher interest rates, which had been weighing on markets. Iranian Foreign Minister Abbas Araghchi said negotiations between Tehran and Oman over the management of the Strait of Hormuz are in their final stages. Trump insisted that peace talks were progressing and described this as 'the last chance for them to sign a good document'. However, Iran's leadership has downplayed the possibility of immediate talks, stating it has 'no plan to receive a delegation or send an Iranian one' in the coming days.
ITC gained 2.7 percent despite reporting a 27 percent drop in its first-quarter profit. Similarly, Indian Oil Corporation rose 2.4 percent, even as it reported a standalone net loss of 2,661.3 crore rupees for the June quarter.
NCC climbed over 2 percent after securing three new contracts totaling 1,052.71 crore rupees in July. Sterlite Technologies surged 5 percent following an order for 960 crore rupees in optical fiber cable from a major domestic telecom company.
ZEE Entertainment Enterprises fell 12 percent after SEBI found missing title deeds related to loans taken by Essel Group. Persistent Systems dropped 3 percent amid a 9 percent fall in Q1 profits, while Maruti Suzuki and Sun Pharma also saw declines.