Indian stock markets are expected to start on a firm footing today, taking cues from global strength and improving domestic indicators. The Nifty 50 and Sensex are likely to open higher, with GIFT Nifty futures already trading in the green.
Across Asia, Japan’s Nikkei surged in morning trade, while other regional markets such as South Korea’s Kospi and Hong Kong’s Hang Seng were also positive. These gains came after weak U.S. labor data renewed hopes that the U.S. Federal Reserve could soon cut interest rates. Investors believe that softer monetary policy in the world’s largest economy will improve global liquidity, indirectly supporting emerging markets like India.
Domestically, investor sentiment has been buoyed by Fitch Ratings raising India’s GDP forecast to 6.9% for FY25, citing resilient consumption and steady growth in services. Inflation figures have stayed within manageable limits, reducing pressure on the Reserve Bank of India to tighten policy further. This combination of global and domestic positives is creating room for equity markets to extend their winning streak.
In terms of sectors, IT stocks are expected to be in focus following a large share buyback announcement from a major technology firm. Banking and financial stocks may also remain active amid healthy credit growth trends. Meanwhile, auto and metals counters could track movements in commodity prices and export data.
Currency, however, remains a risk. The Indian rupee recently touched a record low, raising concerns for import-heavy sectors such as oil marketing companies. On the trade front, global watchers are closely following tariff tensions, especially after recent U.S. moves targeting India and China.
Overall, experts say the opening bias is positive, but volatility cannot be ruled out as markets weigh global policy signals, commodity price swings, and domestic data. Traders are advised to stay selective, with defensive and high-quality names preferred in uncertain conditions.
