Asian Markets Trade Lower, Wall Street Futures Tumble; Weak Start On D-Street Today? | CNBC TV18

Hinzugefügt: 2026-05-25

[00:00:08]US president warns that the clock is ticking for Iran as peace talks stall.

[00:00:13]The warning comes after Donald Trump and Benjamin Netanyahu reportedly discussed the Iran during a high stakes phone call. Saudi Arabia says Eid intercepted three drones as the UAE reported a separate drone strike near Barak uh Baraka Barak nuclear power plant uh that sparked a fire.

[00:00:35]Stocks on Wall Street closed Friday's trading session lower after stocks uh retreat from AI fueled record highs and concerns of long-term inflation ignite.

[00:00:45]uh all the major indices drop uh they're more than a percent at close.

[00:00:52]Markets in Asia open lower after Trump commence on Iran stokes fresh oil supply fears. The gift nifty is also indicating a lower start for the Indian market.

[00:01:04]Brent crude rises above $110 per barrel, building on last week's gains as stalled US Iran peace talks and continued near shutdown of the vital state of Hermus keeps the global supply concerns elevated. Meanwhile, gold trades below $4,550 an ounce as energy prices shock is fed into the broader inflation pressure.

[00:01:30]Big deal in insurance space. global giant credential to acquire 75% stake in Bharti Life Insurance from Bharti Life Ventures and other selling shareholders.

[00:01:41]The credential plc transactions will value Bharti Life Insurance at rupees 5,600 crores.

[00:01:54]Hello, good morning. You're tuned in to Power Breakfast on CNBC TV 18. I'm Vini Motivial. Thank you so much for tuning in as always. Now in terms of the markets, Monday morning seems that we're going to see those Monday morning blues coming in for our Indian markets as well. Why? We have a lot of commentary that's coming in from President Trump.

[00:02:10]Uh the talks between US, Iran, Israel in terms of the war seems to be a bit uh in terms of a stalled situation right now.

[00:02:18]There's nothing moving forward as well and that's why look at the Asian markets how they've opened up as well. Right?

[00:02:22]Most of the Asian markets are trading in the red. Whether you look at um ASX 200, Nikai, Taiwan index, Hang Sang, all of them are trading with cuts of more than a percent. So no respite coming in from the Asian market front, US front as well. The Dow futures, NASDAQ futures.

[00:02:36]Yesterday also we saw that they were trading in the red. And what is the Nifty implied open indicating on that front? We're indicating a 90 point down as of now for the Nifty implied open. So seems like a screen of red that's coming across Asia and that's what we're expecting in India as well. Now on to that update, right? what's happening on the West Asia front which is causing this worry on the street as well as a stalemate for a peace between Washington and Thran continue. US President Donald Trump has warned Iran that the clock is ticking for a peace deal. The post on Truth Social added that Iran better get moving or there won't be anything left of them. The president's warning comes after he had a phone call with Israel's Benjamin Yetnao, prime minister of the country as well as in terms of the conflict between Iran is what they discussed. Meanwhile, Saudi Arabia says that it intercepted three drones uh that were launched from Iraq space. The country warned of its right to respond at the right time. Meanwhile, UAE also responded to the damage to one of its nuclear facilities and was determining the source of the attack as well.

[00:03:46]Okay, on that note, you know, how is all this actually impacted our commodities market? What are we keeping an eye out on in terms of gold or oil? That continues to be a concern as well, right? In terms of the prices to get us all of that, let's go across to Manisha Gupta who's joining us this morning.

[00:04:01]Good morning, Manisha.

[00:04:03]>> Morning, Mana. Thank you for that. Well, as the crude oil prices clearly have surged further and we are holding above $110 a barrel at this point in time. As you were mentioning, there are various statements from the US president suggesting that Thran is running out of time to secure an agreement and there are reports from Iran media that the negotiations remain deadlocked with the US offering no tangible concessions. The markets also are looking at Russia facing its biggest uh attack from Ukraine, the biggest in an year by the way and that also adds to the geopolitical concerns there. Uh energy infrastructure in the Persian Gulf was targeted over the weekend. So there are various things that happened over the weekend and the statements coming in as well which are supporting the crude oil prices. But what we also are looking at a very sharp decline when it comes to metals because of the same reason the crudeled inflation and the fact that the monetary policies from various central banks could change has led to a decline in metals. So you have gold which is declined 4% in the previous week is trading at a six week lows. Silver fell 8% on Friday has continued to decline today in Asia. copper prices well they fell nearly 5% on Friday have opened one and a half% lower in in the international markets right now so everywhere that you look barring crude oil the metals the other commodities have opened on a weaker note >> okay Manisha you know thank you so much uh for that for highlighting what we should keep an eye out on in the world of commodities but let's move on and the brick summit in New Delhi has ended without a joint statement after the members failed to reach a consensus of the Iran war. However, member nations called for a comprehensive reform of the UN including security council. Now, speaking at the press conference, Iranian foreign minister say Abbas Arachi has clarified that the state of Hormuz is open and all vessels can pass barring vessels belonging to the nations fighting against Iran. Listener, >> the straight of hormones is open and all vessels can pass except except the vessels belonged to those countries who are in in war with us, who are fighting with us. Those vessels who want to pass should obviously coordinate with our military because of the uh you know uh mines and you know obstacles which exist. So we will guide them to pass as we have done for a num number of Indian vessels and we help them to pass. The safe passage of all vessels is uh our policy and our and in our interest and we are ready to help those who want to pass safely and securely.

[00:06:50]>> Now moving on the Ukrainian and Russia update. What's happening there? Right.

[00:06:54]Rukin has launched one of the biggest drone attacks on Russia's Moscow region, killing at least five people. Russian officials described the attack as one of the largest drone barges of the war.

[00:07:06]Ukrainian President Zalinski defended the strikes, calling them entirely justified and saying that they were a response to continuing Russian attacks on Ukrainian cities. Moscow claims its air defense shot down more than thousand Ukrainian drones over the past 24 hours.

[00:07:24]Also note an Indian worker was killed and three others injured in this attack.

[00:07:32]Okay. Uh on that note, we're actually going to move into a very short break.

[00:07:37]Then the after the break, we'll come back. We'll talk about how the overnight cues are going to be impacting our Indian market. Stay tuned.

[00:08:06]Welcome back to Power Breakfast on CNBC TV8. Now let's talk about how those overnight cues are going to be impacting our Indian market. We have a team of research joining us to set you up for trade which are the important stocks to watch out for in the trading session.

[00:08:17]And first up uh Vive seems like those one day blues and we'll see red more than the blues across the screen today.

[00:08:24]That's the expectation this morning.

[00:08:26]>> Good morning. You're absolutely right.

[00:08:28]So you know what you're actually saying is that given the fact that we actually seen quite a muted and a weak handover from US markets over the weekend and there has been a lot of escalation as far as rhetoric is concerned of the geopolitical tensions. We've actually seen Asian markets give nifty all indicating a sharp gap down start for our own markets. Now the other big worry continues to remain the US 30-year Treasury. The yields have now moved to a one-year high and that led to a bit of a sell-off as far as US markets are concerned in the week gone by. Brent prices continue to remain a key monitor.

[00:08:55]Brent prices have spiked once again and now hovering around the $110 a barrel mark. Asian markets the gift all indicating a gap on start. Now when you're talking about the week gone by, markets actually managed to snap a twoe gaining streak and they ended with significant cuts in the week gone by and the sectors that were impacted the most of course were the nifty IT pack continued to feel as far as takeover as far as AI is concerned of most of the software as a service is something that the entire street is concerned about and along with that the realy pack too that saw a bit of a bounce so significant selling pressure emerge on as talking about Friday markets entered a very volatile trading session with cuts in terms of IND individual stocks, Tata Motors, passenger vehicles, there was a outperformer given the kind of margin expans in the company in Q4. And when you're talking about the top movers on the downside, Mut Finance, some worries about NPA, worries about spreads as well as Voltage, very weak. Q4 is something that dragged those stocks lower. In terms of what is it that we'll be watching out for in today's trading session while earning season continues, IOC as well as AFCON among the key companies that will go ahead and report the results today. Earnings reaction, keep an eye out on the metals pack, Tata Steel as well as Sale domestic markets have done very well for both of them.

[00:10:01]Power grid quite a muted quarter. It'll be important to see what the management says in the Q4 conference call today.

[00:10:07]It's a significant top down miss as far as power grid is concerned. KC, NCC, NBC, LJVN, all of these stocks will go ahead and react to the results today.

[00:10:16]Keep an eye out on the entire insurance pack. A very large deal has been announced when you're talking about potential taking Bharti XA IC potential will be the stock in focus given the fact that potential will need to pair down the stake to almost nil. So overall a muted uh trading session is what is in store for us today at least at the open.

[00:10:33]Okay, Vic, thank you so much for the and since we started the show, if you look at it, we were down 90 points. Now the Nifty implied open is indicating 115 point decline, but which are the important stocks that we're keeping an eye out on this morning. Let's go across to Ria for that. Good morning, Ria.

[00:10:47]>> Well, good morning. First, taking stock of all of the earnings that have come out over the weekend. Starting off with Tata Steel, the quarter for Epita has come in at 9,829 crores above estimates and the standalone volumes for the company have gone up by around 11% compared to the previous year. For Vodafone idea, the ARPU has grown about 1% sequentially and apart from this uh ABG which is the promoter of the company is going to infuse around 4,730 crores in the company via warrants and analysts say that this is lower than expected and is unlikely to prove any meaningful cash flow relief to the company for power grid for their quarter 4 numbers that has been largely below estimates. Uh the revenue has gone down by around 5% compared to the previous year and EPIDA also seeing a decline of nearly 11%. Uh for Hindustan copper, the revenue has gone up by around 58% compared to the previous year at 1,156 crores. Margins have expanded quite significantly to nearly 54 uh% versus around 36.4% in uh the previous quarter.

[00:11:45]For uh sale, the sales sales volumes have come in at 5.32 metric tonses and the EITA has come out at around 4,49 crores above the estimates that we were working with. For Premier Energies, the strong growth has continued in quarter 4. this time around led by strong execution for the company. Uh revenue has gone up by around 38% and net profit also seeing an expansion of around 64% compared to the previous year. For Gland farmer revenue seeing an increase of around 22% better than uh the estimates of around 15 to 16% growth for the quarter and net profit also seeing a very sharp increase of 86% compared to the previous year. for delivery. This time around, the revenue has seen an increase of over 38% and EITA margins have also expanded to nearly 8% versus around 4 and a.5% uh compared on a year-on-year basis. But moving away from the earnings, Indigo is expected to be in focus today as Delhi has cut its uh VAT on the ATF fuel from 25% to 7% for 6 months amid the West Asia crisis and Mumbai has also cut uh this tax from around 18% to 7% for the next 6 months.

[00:12:50]>> Okay. Okay, thank you so much for that Ria but let's move on and talk about the cues in the world of FNO. We have Sudashan as always to take us through all of that. Good morning Sudashan.

[00:12:58]Friday we managed to hold on to 23,600 which are the key levels today because as of now it's a red start.

[00:13:06]>> Good morning. So that's was on Friday even if we closed in the red it was not a bad day of trade because amid volatility nifty managed to hold to the levels about 23,600 but the problem is that cues have turned negative all the indicators you talk about rupee you talk about crude you talk about 10ear bond yield whether it's India or US 30-year bond yield is now highest in a year and even commentary is not looking that great so we'll have to track all that and because of these cues give nifty for us is indicating a sharp down tick currently indicating that we might open with a gap down or we might open with a cut of more than 100 points. But talk about FI's flows on the Friday also we have seen FI's buying in index futures of more than 1,300 C. In the stock they were sellers sold almost 1200 core but look at the short reduction they have reduced short positions by more than 8,000 contracts for second consecutive day on Friday reduction was more than 10,000 Friday it's more than 8,000 now FI longs exposure is at 12% short exposure 88%. On the options data, put side 23,400 and 23,500 remain the most active put options. On the call side, 24,23,900 were the most active. So, it tells you that broad range for nifty remains from 23,400 to 23,900. So, for Nifty to go higher, it has to hold to the levels above 23,400. That's the reason I've taken the support 23,400. Residence 23,900. Two stocks in the bank sale and Sale and K Technologies. And so the stocks that have been reacting whether it's fresh longs or freshs would vodaf unwinding and there is also a news flow.

[00:14:38]Mut finance after Q4 earnings has seen fresh shorts and Bhartel has been seeing short covering.

[00:14:43]>> Okay Sudashan thank you so much for that. So that's the cues that we'll keep an eye out on in the world of FNO. But let's just take a look back in terms of the US market. Right. Wall Street ended with sharp cuts while oil prices and Treasury yields jumped as a 2day Beijing summit between President Trump as well as Chinese leader Xi Jinping ended with few major announcements. Now key indices NASDAQ, S&P 500, Dow Jones all closed with cuts of over a percent but S&P 500 held on to finish higher for a seventh straight week. What happened on Wall Street? Let's go across to CNBC's Brandon Gomez who's here to give us that rap. Brandon.

[00:15:25]>> President Trump left Beijing Friday after his summit with Xi Jinping and announced that China has agreed to buy about 200 Boeing jets with the potential for as many as 750 planes. The Chinese government has yet to comment and neither has Boeing, which typically waits for customers to announce completed deals. If the orders are finalized, it would be Boeing's first major Chinese deal in almost a decade.

[00:15:48]In recent years, Boeing has basically been shut out of China amid trade tensions with Washington. And with the summer months approaching, Ben & Jerry's Ice Cream may soon have a new owner.

[00:15:59]Reuters reports Blackstone and CDNR are among private equity firms exploring a bid for its parent Magnum Ice Cream Company just months after it was spun off from Unilever. Magnum is facing challenges from consumers opting for healthier choices amid the boom in weight loss drugs such as Zepbound and Ozmpic. That's what's happening here in the US. Back to you in Mumbai.

[00:16:20]>> Thank you so much for that. But let's move on. And Jeffreey's chief market strategist David Zer says that the US economy is resilient despite the negative action from rates and energy.

[00:16:30]Listen into what he had to say. The guts of this economy which is being driven by a productivity-led positive supply shock is not getting derailed by a little bit of move on the negative demand side from rates or the negative supply side from energy. These are small shocks in the context of this very large productivity shock that we have been talking about now for many years not just uh many quarters or many months. So I think the underlying guts of this economy are just showing through the negativity and that's the positive story here. That's the I would argue that if we went back to Feb 27th, none of this ever happened and oil was back at 65 bucks and we had three rate cuts priced in for the next 12 to 18 months, which is where we were. One in June, one in SEP, and then one sometime next year, the market would be well over 8,000 in the S&P. Well over 8,000. Another 10% from here. So, I I'm taking a lot of positive out of this price action that we've had for the last couple months.

[00:17:34]>> Also, US energy secretary Chris Wright uh says that a deal between US and Iran can be struck soon and says the US military can force the reopening of state of Umus, but would rather make a deal. Listen in.

[00:17:48]>> So, dialogues going on with Iran.

[00:17:50]Everyone knows where this is going to end. This is going to end with the Iran nuclear program being dismantled and free flow of traffic through the straits of Hormuz. That could be a deal with Iran that struck in the next few days and that could happen relatively quickly. If Iran continues to hold the world economy hostage, the United States military will force the reopening of the Straits of Hormuz. But that's not trivial to do. We we've done the early steps on that. But better is to get a deal. We didn't go in with a specific agenda to change the government of Iran.

[00:18:21]That's up to the Iranian people. We went in to reduce Iran's ability to wreak havoc on global energy markets, on the Middle East economy, and ultimately threaten the US and the and our allies in Europe and Asia with nuclear weapons.

[00:18:36]>> Shifting focus as the Federal Reserve Chair Jaram Powell's term comes to an end. Kevin Bosch is set to take over the reigns. Former Atlanta Fed President Dennis Lockhard and former uh St. Louis Fed President James Bulard outlined the key challenges ahead for the incoming Fed chair. Listen in.

[00:18:56]>> Kevin Worsh has the mother of all tricky navigation challenges in in the coming weeks and months. On one side he's got the president and David has mentioned that of course on the other side he's got an increasingly hawkish committee.

[00:19:11]the uh well uh noted nine words that that Powell used in his last press conference that the committee the core of the committee or the or the the central tendency of the committee had moved to neutral tells you that the committee is up to basically cut or hike mind and that's going to be a difficult committee to convince to cut interest rates.

[00:19:44]>> Uh with yields running up uh in recent trading, uh I think the market's wondering if uh if Kevin Wars is going to be willing to signal that he's uh you know will take action to contain inflation if if the situation rises. Now I I do think there are you know there's a path for him I think where he can say hey I don't really like giving forward guidance so he could take out the words that have been construed as as forward guidance from the committee as the dissensorers wanted at the last meeting and he could also claim uh truthfully that uh you know the committee already reduced rates 75 basis points so the committee's pretty good position and this would show the market that uh he's willing to take hawkish action despite everything that's happened. So I I do think it's a test though and all chairs get tested uh in their first 6 months.

[00:20:48]>> Okay, on that note, we're going to step into a very short break. Up next, we get you more in terms of news and updates on the other side. So stay tuned.

[00:21:11]Thanks for staying tuned in to P breakfast Breakfast on CNBC TV18. Now let's move on and in a landmark achievement accelerating India's journey towards technological leadership, Tata Electronics has forged a partnership with the Dutch semiconductor powerhouse ASML to establish the country's first frontend semiconductor fabrication plant in the state of Gujarat. The Dutch chipm equipment makers technology will support Tata Electronics planned 300 mm semiconductor fabrication plant in Gujarat. the companies said in a joint statement. Uh the signing of the agreement between the two companies was witnessed by uh Prime Minister Narendra Modi and Prime Minister of Netherlands Rob Jettin. The announcement comes as PM Modi embarks on a fine nation tour to strengthen India's strategic ties.

[00:22:01]Moving on, Prime Minister Narendra Modi in is currently touring in UAE and Europe from May 15 to May 20th. He has visited UAE, Netherlands and Sweden thus far and with uh his visit to Norway and Italy on the radar this week. Uh the prime minister's visit to Netherlands marked the elevation of strategic partnerships with two countries uh inking of a 17pack partnership on chips, defense and more. The Netherlands visit also witnessed the return of 11th century Chola dynasty copper uh plates that we saw. Meanwhile, his uh visit to Sweden uh witness the marking of history as he became first Asian leader to receive Sweden's Royal Order of Polar Star.

[00:22:54]Okay, and with that we're absolutely out of time in this edition of Power Breakfast and CNBCTV8. Nifty implied open is still indicating a red start for our Indian market. So watch out for that. But to take you through all that action, we have Bazar Mon coming up next.