Indian shares to open lower as crude tops $100
- GIFT Nifty futures were at 23,710
Indian shares are set to decline due to surging oil prices from an escalating Middle East crisis, coupled with disappointing earnings reports from Infosys and IndiGo.
- Escalating Middle East crisis and surging oil prices.
- Infosys and IndiGo's weaker-than-expected earnings.
- New US tariffs impacting Indian trade.
Indian shares are expected to decline on Friday as an escalating Middle East crisis has pushed Brent crude above $100 per barrel for the first time in two months, while weaker-than-expected earnings from Infosys and IndiGo will also hurt shares.
GIFT Nifty futures were at 23,710 as of 7:12 a.m. IST, indicating the benchmark Nifty 50 could open below Thursday’s close of 23,869.6.
US President Donald Trump promised a “major military punishment” for Iran and its Houthi allies on Thursday after the Yemeni fighters struck two Saudi oil tankers in the Red Sea, extending the Middle East war to a second major shipping chokepoint.
Higher oil prices pose a key risk for India, the world’s third-largest crude importer and consumer, by stoking inflation, widening the trade gap, and squeezing growth and corporate margins.
The Trump administration will impose new tariffs of 10% and 12.5% on goods from 60 trading partners, including the European Union and India, on Friday over allegations of lax enforcement of forced labour bans, just as a temporary 10% global tariff expires.
India’s benchmarks have fallen about 2% this week, setting the stage for their biggest weekly loss in over two months.
Shares of information technology major Infosys will be in focus after it named company veteran Ashiss Kumar Dash as its next CEO, while narrowing its fiscal year 2027 revenue growth guidance.
Meanwhile, India’s largest airline IndiGo forecast largely flat capacity growth for the current quarter after posting a loss on Thursday, driven by soaring fuel prices and uncertainty from the Middle East conflict.