Indian shares on track for higher open on lower Treasury yields, SEBI relief

Indian shares are likely to open higher on Friday, extending their recovery from the previous session, as a drop in US Treasury yields and changes to the closing auction ​session by the local markets regulator support sentiment.

GIFT Nifty futures were at 23,082 at ‌7:52 a.m. IST, indicating a positive start for the benchmark Nifty 50, which closed at 22,997.35 on Thursday.

The Nifty 50 and BSE Sensex posted their biggest single-day gains in four months on Thursday as a rebound ​in the global AI trade and earnings-driven sentiments boosted stocks.

The Securities and Exchange Board ​of India said on Thursday it would use volume-weighted average prices from the ⁠final 30 minutes of regular trading to settle expiring stock and index derivatives contracts, reversing ​its decision to use the closing auction session (CAS) following pushback from traders.

Jefferies said this should reduce expiry-day ​volatility under CAS, benefiting brokers whose orders remain below pre-CAS levels.

Meanwhile, longer-dated US Treasury yields fell to their lowest levels since September on concerns about slowing AI growth and bets the Federal Reserve will hold rates steady at ​its next meeting.

The recovery, however, may remain fragile as elevated oil prices and inflation risks ​could keep investors cautious, two analysts said.

Brent crude futures hovered around $106 per barrel, with Iran as investors weighed ‌Middle East ⁠risks and possible US steps to ease restrictions on the world’s “shadow fleet” of tankers.

Foreign investors sold Indian shares worth 52.85 billion rupees ($555.99 million) on Thursday, according to provisional data. They have offloaded $32.8 billion worth of shares so far in 2026.

Asian stocks rose 1% in early trading on Friday, ​with buyers returning to ​the tech sector ⁠after a selloff on Thursday and as a decline in bond yields eased pressure.