India’s benchmark indices are likely to open flat on Thursday after three straight sessions of gains, as optimism around improving earnings outlook is balanced by caution over artificial intelligence-linked disruption.
Gift Nifty futures were trading at 25,858.5 at 7:58 a.m. IST, indicating the Nifty 50 may open close to Wednesday’s finish of 25,819.35.
Market momentum pauses after 1.4% three-session gain
Both the Nifty 50 and the Sensex have advanced around 1.4% over the past three sessions, supported by an in-line December quarter earnings season, despite a one-time impact from labour-related charges.
Technology stocks, however, remain under scrutiny. While the Infosys-Anthropic collaboration briefly lifted sentiment earlier this week, the sector gave up gains on Wednesday as investors evaluated potential earnings disruption linked to artificial intelligence adoption.
Broader Asian markets opened about 0.5% higher, while Wall Street closed in the green overnight, led by strength in technology counters. Investors also digested the latest Federal Reserve policy minutes.
Global cues: Gold rebounds, crude steady after surge
Gold prices rebounded as Ukraine peace talks ended without a clear resolution, driving some safe-haven flows. Meanwhile, crude oil prices traded flat after surging 4% on Wednesday following Iran’s temporary closure of parts of the Strait of Hormuz — a key global oil transit route. Elevated crude remains a concern for India, a net importer of oil.
Institutional flows remain supportive
Foreign portfolio investors (FPIs) continued their buying streak for a second consecutive session on Wednesday, purchasing Indian equities worth Rs 11.54 billion. Domestic institutional investors (DIIs) also remained buyers, with inflows of Rs 4.40 billion, according to NSE provisional data.
Stocks to watch today
- Bharat Forge signed an agreement with VVDN Technologies to collaborate across automotive, defence and data center domains.
- BL Kashyap and Sons secured an order worth Rs 3 billion.
- Zydus Lifesciences received US FDA approval for Bosentan tablets used in treating pulmonary arterial hypertension.
- Cochin Shipyard signed a contract worth over Rs 20 billion with France’s CMA CGM for manufacturing six feeder container vessels.
With indices near recent highs and global cues mixed, markets may enter a consolidation phase as investors await fresh triggers from domestic data and global developments.