After repeatedly claiming that he brokered a ceasefire between Israel and Iran, US President Donald Trump now finds the truce on shaky ground. Just hours after the deal was meant to take effect, Israel accused Iran of launching missile strikes — a charge Tehran denies. The diplomatic flare-up comes as Japan conducts a rare missile test on home soil, and Indian markets react to the rising global uncertainty. Meanwhile, S&P has raised India’s growth outlook, and New Delhi inches closer to key trade deals with the US and EU.
Japan test-fires missile on home soil
In a historic move, Japan test-fired a Type-88 surface-to-ship missile from Hokkaido its first-ever domestic missile launch. Previously, such tests were conducted overseas in the US or Australia.The move is seen as part of Japan’s evolving military strategy to develop strike-back capabilities amid tensions with China.
ALSO: '12-day war': Trump declares Iran-Israel ceasefire, but Tehran says not yet
Dalal Street ends off day’s highs
Indian equity markets opened strong on hopes that the ceasefire would hold, but global uncertainty soon took over. The Sensex ended nearly half a percent down, while the Nifty closed just off the 25,000 mark.
Crude oil prices, which had fallen sharply, rebounded slightly. Brent crude was trading above $69 per barrel by market close.
S&P raises India’s GDP forecast
S&P Global Ratings has revised India’s GDP growth forecast for FY25 to 6.5%. The revision is based on easing crude prices, an expected monetary policy shift, and a normal monsoon.
The agency also said ongoing global conflicts were unlikely to significantly impact the rupee or domestic inflation.
ALSO: Evin prison: Israeli strikes put spotlight on Iran’s infamous jail for political detainees
India nears major trade deals
Finance Minister Nirmala Sitharaman said India is close to concluding trade agreements with both the US and the European Union.
Speaking at an Exim Bank trade conclave in Delhi, she said negotiations were progressing rapidly. The government is aiming for $2 trillion in exports by 2030, with FTAs seen as a key part of the strategy.
