Indian Benchmark Indices Open Higher as Foreign Inflows Return

Nifty 50 opens above 23,500, Sensex up 550 points.

Pre-Market Update at 7:30 AM: Sensex and Nifty 50 are likely to start Monday’s session on a positive note, continuing last week’s upward momentum, despite mixed signals from global markets.

Gift Nifty hovered around the 23,500 mark, reflecting a premium of approximately 120 points over the previous close of Nifty futures. This suggests a potential gap-up opening for Indian stock market indices.

The US stock market closed higher on Friday, driven by optimism following comments from President Donald Trump, which eased concerns over the impact of upcoming tariffs set to take effect in early April.

The Dow Jones Industrial Average edged up by 32.03 points (0.08 per cent) to settle at 41,985.35, while the S&P 500 gained 4.67 points (0.08 per cent) to reach 5,667.56. The Nasdaq Composite outperformed, climbing 92.43 points (0.52 per cent) to close at 17,784.05. On a weekly basis, the S&P 500 added 0.5 per cent, the Nasdaq advanced 0.17 per cent, and the Dow posted a 1.2 per cent gain.

Donald Trump’s proposed “reciprocal tariffs,” expected to take effect on April 2, will be more targeted than his previous broad threats, according to Bloomberg sources. Certain countries may receive exemptions, and existing tariffs on steel and other metals might not be cumulative, the report indicated.

Meanwhile, Japan’s manufacturing sector experienced its steepest decline in a year this March, with service sector activity also slowing down. The au Jibun Bank flash manufacturing PMI dropped to 48.3 from 49.0 in February. The services PMI declined to 49.5 from 53.7, signaling the first contraction since October.

The composite PMI, which reflects both manufacturing and services activity, fell to 48.5 from 52.0 in February, marking its first decline in five months.

Asian markets mostly declined on Monday as investors awaited the April 2 deadline for the implementation of U.S. President Donald Trump’s reciprocal tariff. Japan’s Nikkei 225 edged up by 0.28 per cent, while the Topix index saw a modest gain of 0.13 per cent. In contrast, South Korea’s Kospi dropped 0.36 per cent, and the Kosdaq slipped 0.05 per cent. Meanwhile, futures for Hong Kong’s Hang Seng index signaled a weaker start.

Crude oil prices declined slightly after recording a gain of over 2 per cent in the previous week. Brent crude slipped 0.14 per cent to USD 72.06 per barrel following a 2.2 per cent rise last week, while US WTI crude futures edged down 0.03 per cent to USD 68.26.

The dollar index was trading at 103.77, while USD/INR was trading at 86.

The Indian stock market continued its upward momentum for the fifth straight session on Friday, recording the highest weekly gains in the last four years since February 2021. In the Friday’s trade the Sensex climbed 557 points, or 0.73 per cent, to settle at 76,905, while the Nifty 50 advanced 159 points, or 0.69 per cent, to close at 23,350.

On March 21, 2025, foreign institutional investors (FII) bought shares worth Rs 7,470.36 crore, while domestic institutional investors (DII) sold shares worth Rs 3,202.26 crore.

Stocks that are banned for trading in the F&O segment on March 24, 2025, are Indusind Bank Ltd, Polycab India Ltd, Hindustan Copper Ltd, etc.

Disclaimer: The article is for informational purposes only and not investment advice.