India’s Nifty 50 stock index is set to open higher on Monday, building on its best week in four years, as foreign capital inflows and bargain buying opportunities cheered investors.
The GIFT Nifty futures were trading at 23,478, as of 07:45 a.m. IST, indicating that the blue-chip Nifty 50 index will open above Friday’s close of 23,350.40.
On Friday, foreign portfolio investors (FPIs) bought Indian shares worth 74.70 billion rupees ($868.3 million), the biggest single-day inflow in four months.
FPIs have been persistent sellers in India since late-September, taking out nearly $29 billion from the market, due to slowing domestic earnings growth, tariff fears and expensive valuations.
The Nifty 50 and BSE Sensex indexes had dropped as much as 16.4% and 15.5%, respectively, from their peaks of late-September.
They have trimmed the losses to around 11%, each.
Bargain-hunting boosts India’s Nifty 50 to best week in more than 4 years
“The recent reversal in FPI selling has turned the market sentiment for the better, facilitating a rally,” said V.K. Vijayakumar, chief investment strategist at Geojit Investment Services.
Investors are positioning themselves for the upcoming quarterly earnings as they look for signs of rebound in growth, while US reciprocal tariffs expected on April 2 will also be in focus, analysts said.
Asian markets were mixed in early trade, with MSCI Asia ex-Japan up 0.1%.
Comments