Indian Shares Set For Muted Open As Oil Surges Amid Hormuz Risks

(RTTNews) - Indian shares are seen opening little changed on Tuesday amid a lack of any breakthrough in West Asia talks.

As oil prices extend their surge and inflation worries mount, investors also await cues from key U.S. inflation readings due this week.

Benchmark indexes Sensex and Nifty ended a lackluster session marginally higher on Monday while the rupee settled 11 paise lower at 95.28 against the U.S. dollar.

Foreign institutional investors net bought shares worth Rs 1,974.76 crore on Monday, while domestic institutional investors net sold shares to the extent of Rs 1,290.29 crore, according to provisional exchange data.

Asian stocks were mixed in lackluster trade this morning, with Japanese markets closed for a holiday.

The U.S. dollar held gains from the previous session while gold traded at $4,427 an ounce, climbing for the third straight day and hitting over a two-month high on receding Fed hike bets and reports suggesting that China's central bank stepped up gold purchases in July.

Brent crude futures held steady near $88 a barrel after rising for four consecutive sessions.

Overnight, U.S. stocks ended a choppy session slightly lower as oil prices surged nearly 5 percent on growing doubts over a near-term agreement to reopen the Strait of Hormuz.