India’s benchmark indexes are set to open higher on Friday, as progress in trade negotiations with the United States is likely to extend a rally sparked by easing geopolitical tensions.
The Gift Nifty futures were trading at 25,189 as of 8:12 a.m. IST, indicating that the Nifty 50 will open about 0.5% above Thursday’s close of 25,062.10.
Both benchmarks hit seven-month highs on Thursday.
The Nifty and the BSE Sensex have gained about 4.5% and 4%, respectively, this week so far.
The Nifty and Sensex are also only 4.6% and 4% below their all-time high levels hit on September 27, 2024.
The India-Pakistan border truce initiated a relief rally on Monday, while progress in a trade deal with the U.S. has firmed gains, sustaining foreign inflows.
Foreign portfolio investors (FPIs) bought Indian shares worth 53.93 billion rupees ($631.5 million) on Thursday, the highest since April 24, 2025.
U.S. President Donald Trump said on Thursday that India has offered a trade deal with zero tariffs, driving markets higher.
India’s trade secretary said after market hours that trade talks with the U.S. are progressing well and that a team is slated to visit the U.S. to take the talks forward.
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“Trump’s zero-tariff comment has injected fresh optimism into Indian equities, reinforcing the bullish undertone,” said Vikram Kasat, head of advisory at PL Capital.
“With the Nifty sustaining above 25,000, near-term momentum remains intact, though upcoming earnings and global cues could test market resilience.”
While domestic equities have sustained gains, other Asian markets have hit a pause in the rally triggered by the U.S.-China trade truce.
The MSCI Asia ex-Japan traded flat on Friday, after closing little changed in the previous session.
Wall Street equities were mixed in choppy trading overnight, while oil prices fell 2% on Thursday, as expectations of a potential U.S.-Iran nuclear deal raised the prospect of a supply hike.
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