Aug 14 (Reuters) - Indian shares are expected to open little changed on Friday as reduced possibilities of a U.S. Federal Reserve rate hike in September offset concerns regarding persistent tensions in the Middle East.
GIFT Nifty futures were at 24,428 points as of 7:30 a.m. IST, indicating a muted start for the Nifty 50, which closed at 24,395.85 on Thursday.
The Nifty 50 and BSE Sensex have dropped 0.7% and 0.5%, respectively, this week as escalating tensions in the Middle East have outweighed strong earnings season and prospects that the Fed will hold rates steady in the near term.
The United States on Thursday said that it could maintain a naval blockade of Iran indefinitely and would ratchet up economic pressure on Tehran as ceasefire talks have floundered.
Brent crude futures, however, dropped to $87 per barrel as higher inventories and lower global demand forecasts offset geopolitical concerns. [O/R]
Foreign investors net sold Indian shares worth 5.11 billion rupees ($53.54 million) on Thursday, as per provisional data. This was their third straight session of selling.
Meanwhile, U.S. producer price data, which was unchanged in July, further reduced expectations for a Federal Reserve rate hike next month.
STOCKS TO WATCH
** Tata Motors Passenger Vehicles reports an 80% slump in profit for the first quarter on higher costs and forex losses, even as its revenue rises over 9%
** LG Electronics India reaffirms its fiscal year revenue growth target after reporting a more than 27% rise in first-quarter profit on the back of strong summer season demand for its air conditioners and refrigerators
** JSW Cement reports higher first-quarter profit, as healthy demand and price hikes helped offset cost pressure
($1 = 95.4400 Indian rupees)
(Reporting by Vivek Kumar M; Editing by Rashmi Aich)
