US stocks today: Nasdaq lags on angst over AI spending ahead of earnings reports

New Delhi: Prime minister Narendra Modi’s government has sharply increased infrastructure spending since coming to power in 2014, with allocations rising to more than five times the level seen in the decade up to 2014.The Centre's effective capital expenditure, including grants to states for creating public assets, surged to ₹90.87 trillion during 2014-26, from ₹17.04 trillion in the previous decade (2004-2014), underscoring the government's sustained push to use public investment as a driver of economic growth and infrastructure creation.In a written reply to the Lok Sabha on Monday, finance minister Nirmala Sitharaman said the Centre's direct capital expenditure increased to ₹64.70 trillion during 2014-26 from ₹12.39 trillion during 2004-14, while grants-in-aid for creation of capital assets amounted to ₹26.17 trillion over the past 12 years. These grants are provided to states for projects such as school buildings under Samagra Shiksha and houses under the Pradhan Mantri Awas Yojana.Effective capital expenditure refers to the Centre's capital expenditure along with grants-in-aid provided to states and other agencies for the creation of infrastructure assets such as roads, schools and houses.Monday was the first day of the Monsoon Session of Parliament that will sit till 13 August.Sitharaman informed the house that effective capital expenditure captures both the Centre's own capital spending and grants given to states for asset creation, providing a broader measure of public investment. Grants for creation of capital assets have been accounted for separately since 2010-11, while for 2004-05 to 2009-10, effective capital expenditure has been treated as equal to capital expenditure.Queries sent on Monday to the finance ministry remained unanswered.Investment-led growth focusedExperts said the fivefold increase in effective capital expenditure reflects the government's emphasis on investment-led growth.“Public investment in infrastructure builds productive assets that improve connectivity, reduce logistics costs and enhance economic efficiency. Over time, this creates conditions for higher productivity, employment and private investment. While execution remains critical, sustained capital formation can strengthen India's long-term growth potential and support broader economic development,” said Prashant Shah, co-founder and chief executive officer (CEO) of Definedge Securities, a stockbroking and fintech firm.The Centre also highlighted a steady increase in capital expenditure as a share of gross domestic product (GDP) since the pandemic. The ratio rose from 1.6% in 2014-15 to 3.2% in both 2023-24 and 2024-25, before easing marginally to 3.1% in 2025-26 (provisional).For FY27, the government has budgeted effective capital expenditure of ₹17.15 trillion, including ₹12.22 trillion in the Centre’s own capex and ₹4.93 trillion in grants to states for asset creation.The finance minister said that the higher capital spending has strengthened infrastructure across roads, railways, urban infrastructure, energy and digital connectivity, while improving logistics efficiency, generating employment and crowding in private investment.Capex priorityShe said the government will continue prioritising effective capital expenditure through budgetary allocations and support to states under the Scheme for Special Assistance to States for Capital Investment (SASCI), including the Pride of Hills component for northeastern and hilly states.Further, initiatives such as the PM GatiShakti National Master Plan, the National Logistics Policy and the PM GatiShakti Public Platform would further strengthen integrated infrastructure planning, inter-agency coordination and technology-enabled project implementation.Earlier, Mint reported on 25 June that the Department of Expenditure under the Union finance ministry had asked states and Union Territories (UTs) to limit their proposals under its ₹2 trillion, 50-year interest-free loan scheme for capital

SynopsisBrent crude hovered near the $71-a-barrel mark after briefly dipping below that level in the previous session, while US benchmark West Texas Intermediate (WTI) traded around $68 a barrel.Listen to this article in summarized formatETMarkets.comCrude oil prices stayed under pressure on Friday as tanker traffic through the Strait of Hormuz continued to recover and diplomatic engagement between the US and Iran showed signs of progress. Brent crude is also headed for a fourth straight weekly decline, its longest losing streak since August 2024Crude oil price on July 3Brent crude hovered near the $71-a-barrel mark after briefly dipping below that level in the previous session, while US benchmark West Texas Intermediate (WTI) traded around $68 a barrel.The commodity has retreated sharply from the $125-a-barrel highs touched during the peak of the Gulf conflict, as higher output from regional producers and improved supply expectations followed the preliminary memorandum of understanding (MoU) signed by the US and Iran in mid-June.Saudi Arabia, the region’s largest oil producer, has restored exports to roughly 90 percent of pre-conflict levels for most of this week. A significant share of the kingdom’s crude shipments passes through the Strait of Hormuz.Speaking to CNBC, US President Donald Trump said negotiations with Iran were still underway and claimed that Tehran “has agreed to just about everything we need.” However, the Wall Street Journal reported that Iran remains unwilling to abandon its demand for control over the Strait of Hormuz and intends to continue charging transit tolls after the 60-day deadline expires.Supply has increased not only from Saudi Arabia but also from the United Arab Emirates, which is no longer an OPEC member, and from Iran after it secured sanctions relief under the terms of the preliminary MoU.Read more: Crude oil correction could be India's next big market trigger: Rohit SeksariaWorst over?Macquarie Group has sharply lowered its oil price forecasts for 2026 and 2027, citing expectations of a quicker-than-anticipated normalization of crude flows from the Middle East. Following the interim peace agreement between the United States and Iran, which has allowed oil shipments to resume from the Persian Gulf, the bank now expects brent crude, the global benchmark, to average $77 a barrel in 2026, down from its earlier forecast of $89. It also cut its 2027 Brent outlook to $64 a barrel from $74 previously. Despite several challenges that could slow the recovery in regional oil production, producers in the Middle East are likely to restore output faster than markets currently anticipate, strategists Peter Taylor, Vikas Dwivedi and others said in a research note.Tanker movement through the strait has started improving, with U.S. Vice President JD Vance said oil flows had returned to pre-war levels, although he did not provide any figures.Others argue that despite the improvement, a complete reopening of the Strait of Hormuz is expected to take time, say experts. It will require coordination of vessel movements, restarting oil wells, repairing damaged infrastructure and agreements on de-mining operations. Some shipowners also remain cautious about operating in the strait and the wider Persian Gulf.Analysts said global oil inventories were depleted during the prolonged disruption to shipping through the Strait of Hormuz and will take time to rebuild. They added that stockpiles could continue to decline before additional supplies from the Gulf start reaching international markets.Last month, Saudi Aramco Chief Executive Officer Amin Nasser warned that disruptions in the Strait of Hormuz could delay the return of stability to global oil markets until 2027. He said prolonged interruptions could affect nearly 100 million barrels of oil supply every week. Saudi Aramco is the world's largest oil producer.Also read: India's next stock market headache isn't oil but a bigger storm brewing in the skies(Disclaimer: R

com Stock Market Today: Major Indexes Advance on Final Day of Strongest Quarter Since 2020; Oil Prices Slip Investopedia