Sensex, Nifty set for weak start as GIFT Nifty falls, global cues remain soft

Nifty, Sensex Today: Domestic indices Sensex and Nifty 50 are likely to open lower on Monday. Weak global cues and heavy selling by foreign investors are weighing on sentiment. Early trends from GIFT Nifty also indicate a negative start.

GIFT Nifty

At around 7:57 AM, GIFT Nifty was down 113.50 points, or 0.44 per cent. This suggests the Nifty 50 may open in the red.

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Markets saw sharp fall in previous session

The Indian stock market ended sharply lower on Friday. The fall was broad-based across sectors.

The Sensex dropped 1,048.16 points, or 1.25 per cent, to close at 82,626.76. The Nifty 50 fell 336.10 points, or 1.30 per cent, to settle at 25,471.10. The index also slipped below the key 25,500 level. This signals weakening momentum in the near term.

Volatility jumps, signals rising uncertainty

Market volatility rose sharply. India VIX jumped 13.3 per cent to close at 13.29. This was the second straight day of gains.

A rising VIX shows that investors are becoming cautious. It also indicates the possibility of sharp market swings.

FIIs turn heavy sellers after recent buying

Foreign institutional investors (FIIs) turned aggressive sellers on Friday. They sold shares worth Rs 7,395 crore in the cash market. This came after five days of continuous buying.

Overall, FIIs sold Rs 13,123 crore across cash, index futures, and stock futures. Their long positions in index futures also fell from 22.01 per cent to 19.37 per cent. This shows weakening bullish sentiment.

However, domestic institutional investors (DIIs) bought shares worth Rs 5,554 crore. Their buying helped limit the fall.

Global cues remain weak, Nasdaq extends losses

Global markets remain weak. The US Nasdaq fell for the fourth straight session. It also posted its fifth consecutive weekly loss. This has affected global investor sentiment.

The Indian rupee also weakened slightly. It fell 5 paise to close at 90.64 against the US dollar.

Commodities show mixed trend

Commodity prices showed mixed movement. Gold and silver prices ended higher. This reflects safe-haven buying.

However, crude oil prices remained weak for the second straight week. Copper and zinc prices also stayed under pressure. This signals concerns over global demand.