India’s benchmark indexes are set to open flat on Tuesday as a muted earnings season and sustained foreign selling weighed on investor sentiment.
The GIFT Nifty futures were trading at 23,000 as of 08:04 a.m. IST, indicating that the blue-chip Nifty 50 will open near Monday’s close of 22,959.50.
Both the Nifty and BSE Sensex snapped an eight-session losing streak on Monday, their longest since February 2023, closing marginally in the green.
The benchmarks are trading about 12% below their record highs hit in September 2024 and are down 3% in 2025 so far, hurt by two weak quarterly earnings seasons, an exodus of foreign money, slowing domestic growth and global trade uncertainties.
The broader small- and mid-caps have fared worse. Small-caps confirmed a bear market on Friday, while mid-caps are trading about 18% below their record-high levels.
The small- and mid-caps could see further pressure due to their elevated valuations despite the drop, while the large-caps could consolidate near current levels for a few sessions, multiple analysts said.
Indian benchmarks end flat as Reliance, HDFC offset weakness in earnings, trade worries
Foreign portfolio investors have offloaded Indian shares worth $12 billion in 2025 so far.
Sustained selling by foreign investors, coupled with the December quarter’s modest earnings growth, could limit the potential for any near-term rebound, said two analysts.
Other Asian markets traded flat, while European markets rose overnight on hopes of a Ukraine peace deal. U.S. markets were closed on Monday.