Indian equity benchmarks likely to open higher; foreign fund outflows may cap gains
- The Gift Nifty futures were trading at 26,338 points
India’s equity benchmarks are likely to open higher on Friday, keeping them on track for a marginal weekly rise, as companies announce business updates ahead of quarterly earnings, while persistent foreign fund outflows would keep sentiment cautious.
The Gift Nifty futures were trading at 26,338 points, as of 7:52 a.m. IST, indicating that the Nifty 50 would open above Thursday’s close of 26,146.55.
The 50 stock index is up 0.4% and the BSE Sensex has risen 0.2% this week amid thin liquidity due to Christmas and New Year holidays in several major markets.
The benchmarks fell marginally in December amid a lack of major triggers and an elusive India-U.S. trade agreement.
Investors will likely focus on business updates from banks and companies ahead of the quarterly earnings to assess recovery in earnings growth, which could provide cues for the market in the near term.
Meanwhile, foreign portfolio investors sold shares worth 32.69 billion rupees ($363.52 million) on Thursday, as per provisional data, marking a seventh consecutive session of outflows.
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