Indian shares are likely to open higher on Tuesday, after three straight sessions of declines weighed by concerns of dull earnings and foreign outflows, with focus now on Hindalco and Britannia after earnings.
The Gift Nifty futures were trading at 24,257, as of 08:05 a.m. IST, indicating that the benchmark Nifty 50 will open above Monday’s close of 24,141.3.
The Nifty ended 0.03% lower on Monday, marking its third straight session of retreat, as lacklustre corporate earnings and continuing foreign outflows kept sentiment under pressure.
The benchmark has shed about 8% from the record high it hit on Sept. 27, as foreign investors pulled out nearly $14 billion from domestic stocks mainly to invest in China, drawn by Beijing’s stimulus measures.
Analysts say that adding to the drop is that the September-quarter earnings was the worst in terms of top Indian companies missing expectations since early 2020 when the COVID-19 pandemic engulfed investment horizon.
Asian peers outside Japan declined on the day.
Indian shares close flat at IT offsets earnings, foreign outflow concerns
Wall Street equities ended steady overnight, holding gains following Donald Trump’s return to US presidency.
On the domestic front, local monthly inflation data is expected on the day after equity markets close.
In October, inflation in India is predicted to have climbed to a 14-month high of 5.81%, as per a Reuters poll.
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