GIFT Nifty futures signaled a weaker opening on Friday after the Nifty 50 and BSE Sensex jumped more than 2% in the previous session. The prior advance was bolstered by foreign institutional investors purchasing approximately 150 billion rupees ($1.6 billion) in equities, marking their largest single-day net acquisition in almost six years. Meanwhile, domestic market participants are navigating a wave of quarterly corporate earnings that included forecast beats from consumer firms Titan and Britannia alongside an earnings miss from Bharti Airtel.
Key points
Limited direct exposure to global artificial intelligence hardware trade may protect Indi…: Limited direct exposure to global artificial intelligence hardware trade may protect Indian equities from severe international selloffs.
Lower crude oil prices continue to provide a crucial domestic buffer against broader cros…: Lower crude oil prices continue to provide a crucial domestic buffer against broader cross-border market volatility.
Domestic corporate earnings are showing mixed momentum across major consumer, energy, ins…: Domestic corporate earnings are showing mixed momentum across major consumer, energy, insurance, and telecommunications firms.
Sources checked by our analysis pipeline: 1
Both the Nifty 50 and the BSE Sensex have gained for six sessions in a row, culminating in their best session in seven months on Thursday, aided by lower oil prices and strong foreign fund inflows.
Foreign institutional investors bought stocks worth about 150 billion rupees ($1.6 billion), their biggest single-day net purchase in nearly six years, as investors rotated out of AI-linked trades globally.
GIFT Nifty futures were at 24,460 as of 7:49 a.m. IST, indicating a weaker start for the benchmark Nifty 50, which closed at 24,536.6 on Thursday.
"The indicated decline is relatively contained compared with the severe global selloff, suggesting that lower crude and India's limited direct exposure to the AI-hardware trade are providing some insulation," said Hariselvan Radhakrishnan, founder and CEO of HST Wealth.
Domestic markets are likely to face a volatile session with the possibility of consolidation and profit-booking following the benchmarks' winning streak, according to two analysts.
The Nifty 50 and the BSE Sensex rose 2.4% and 2.6%, respectively, on Thursday after Brent crude fell below $100 a barrel, with investors betting the…
Market analysts are recommending that retail consumers use the recent pullback to accumulate the precious metal in a phased manner rather than through lump-sum purchases. Despite macroeconomic pressures like elevated crude prices and impending US rate hikes triggering the sell-off, long-term drivers remain supportive for future growth. Investors are advised to capitalize on improved valuations ahead of projected target gains over the coming year.
Energy markets are recalibrating as severe geopolitical friction in the Middle East and ongoing strikes on Russian infrastructure continue to throttle international refinery output. Compounding these physical supply disruptions, shifting political dynamics in Washington have introduced fresh policy uncertainty following legislative changes in the U.S. Congress. As a result, product markets face persistent tightness that has pushed vital fuels like diesel to historic levels.
Energy markets tumbled after the Democratic Party seized control of the U.S. Congress, prompting investors to anticipate potential de-escalation in the military campaign against Iran. However, persistent naval hostilities have limited further losses as tanker traffic faces severe disruption in vital shipping corridors. Analysts warn that suppressed transit volumes will keep crude values supported amid ongoing geopolitical tensions.