BENGALURU: Indian shares are set to open lower on Wednesday, on weak global cues amid debt ceiling negotiations in the US, while analysts expect investors to book profits after a 5% rise in the benchmark Nifty 50 in the financial year 2024 so far.

India’s NSE stock futures listed on the Singapore exchange were down 0.21% at 18,291.50, as of 7:52 a.m. IST.

Wall Street equities closed lower overnight, as the ongoing debt ceiling negotiations and weak earnings dampened risk appetite.

Asian markets were subdued.

The Nifty 50 fell 0.61% on Tuesday, after hitting a 5-month high in the previous session.

The index has risen 5.34% so far this fiscal, supported by a healthy results season and consistent FII buying, according to three analysts.

“The market is witnessing profit booking, especially in heavyweights from higher levels,” said Siddhartha Khemka, head - retail research at Motilal Oswal Financial Services.

“Some consolidation may not be ruled out given the sharp up-move in the last few weeks.”

Despite the slide on Tuesday, foreign institutional investors (FIIs) extended their buying streak for the fourteenth session, adding 14.07 billion rupees ($172.1 million) worth of shares.

Indian shares extend gains for third straight week ahead of CPI data

This is the longest daily buying streak in 29 months by FIIs, who bought nearly 225 billion rupees worth of shares in the period, according to provisional data from the National Stock Exchange.

Investors also await quarterly results of companies including Jubilant FoodWorks Ltd, REC Ltd, Deepak Fertilisers & Petrochemicals Corporation Ltd, Whirlpool of India Ltd and Devyani International Ltd on Wednesday.