Indian Stock Market Begins FY26 with a Decline: Sensex Falls 500 Points, Nifty 50 Down 150 Points
On March 28, 2025, foreign institutional investors (FII) sold shares worth Rs 4,352.82 crore, the highest buying since September 2024, while domestic institutional investors (DII) bought shares worth Rs 7,646.49 crore.
Pre-Market Update at 7:20 AM: Indian equity benchmark indices, Sensex and Nifty 50, are likely to open lower on Tuesday, influenced by mixed global trends and concerns over Donald Trump’s proposed reciprocal tariffs. While Asian markets traded in positive territory, US indices closed on a mixed note, with the S&P 500 and Nasdaq Composite recording their weakest quarterly performance since 2022.
Gift Nifty was hovering near 23,455, trading about 182 points lower than the previous close of Nifty futures. This suggests a likely gap-down opening for the Indian stock market indices.
The US stock market had a mixed close on Monday as investors remained uncertain about former President Donald Trump’s economic policies. The Dow Jones Industrial Average rose by 417.86 points (1 per cent) to reach 42,001.76, while the S&P 500 advanced 30.91 points (0.55 per cent) to settle at 5,611.85. In contrast, the Nasdaq Composite declined by 23.70 points (0.14 per cent) to end at 17,299.29.
John Williams, President of the New York Federal Reserve, stated that he could not anticipate when the US central bank might adjust interest rates. He emphasised that maintaining the current rate for an extended period would allow policymakers to analyse economic data before making any decisions.
The Kremlin acknowledged ongoing discussions between Russia and the United States regarding potential steps toward a peace settlement in Ukraine and efforts to strengthen bilateral relations. Meanwhile, Donald Trump expressed disappointment with Vladimir Putin but noted that progress was being made gradually.
The Israeli military reported conducting an airstrike in Beirut’s southern suburbs, targeting a Hezbollah member. According to the army, the individual had recently coordinated with Hamas operatives and played a role in planning an imminent attack on Israeli civilians.
A survey by the Bank of Japan (BOJ) revealed a decline in business confidence among major Japanese manufacturers in the first quarter of the year. The headline index dropped to 12 in March, down from 14 in December, aligning with market expectations.
Asian markets saw an upswing on Tuesday, driven by positive momentum from Wall Street’s overnight rally. Japan’s Nikkei rebounded 1 per cent after touching an eight-month low in the prior session, while the Topix advanced 1.34 per cent. South Korea’s Kospi climbed 1.03 per cent, with the Kosdaq following suit, gaining 1.12 per cent. Meanwhile, futures for Hong Kong’s Hang Seng index signaled a stronger opening.
Brent crude slipped 0.20 per cent to USD 74.83 per barrel, while US WTI crude futures edged up 0.51 per cent to USD 71.28.
The dollar index, which measures the U.S. currency against a group of major peers, eased by 0.04 per cent to 103.82. Its recent strength was driven by expectations of new tariffs, while USD/INR was trading at 85.45.
In the first week of the new financial year 2025-26, investors will keep an eye on key market factors such as Donald Trump’s reciprocal tariff policies, foreign fund inflows, domestic and global economic indicators, auto sales data, and broader international market trends.
The Indian stock market remained closed on Monday, March 31, in observance of Eid-ul-Fitr. On Friday, markets declined as investors booked profits amid weak global sentiment. The Sensex dropped by 191.51 points (0.25 per cent) to settle at 77,414.92, while the Nifty 50 slipped 72.60 points (0.31 per cent) to close at 23,519.35.
On March 28, 2025, foreign institutional investors (FII) sold shares worth Rs 4,352.82 crore, the highest buying since September 2024, while domestic institutional investors (DII) bought shares worth Rs 7,646.49 crore.
There are not any stocks banned for trading in the F&O segment on April 01, 2025.
Disclaimer: The article is for informational purposes only and not investment advice.