Indian Stock Market Poised for Cautiously Positive Opening on Global Cues

Economy

31st October 2025, 2:43 AM

Indian Stock Market Poised for Cautiously Positive Opening on Global Cues

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Short Description :

The Indian stock market is expected to open on a subdued note, with GIFT Nifty signaling a slight decline. This follows a volatile Thursday where benchmark indices Sensex and Nifty closed lower. Key factors influencing today's trading include a partial US-China trade agreement easing tensions, mixed US market performance, fluctuating crude oil and gold prices, and the divergence in FII (net sellers) and DII (net buyers) flows. Asian markets opened mostly higher.

Detailed Coverage :

The Indian stock market is anticipated to open on a subdued note today, as indicated by the GIFT Nifty trading down 34 points. Yesterday, the benchmark indices Sensex and Nifty concluded lower after a session marked by volatility, with Sensex falling 0.70% and Nifty declining 0.68%.

Globally, Asian markets showed a positive start, with Japan’s Nikkei 225 and Topix trading in the green, alongside gains in South Korea's Kospi and Kosdaq, and Australia’s S&P/ASX 200. A significant development is the partial trade agreement reached between the U.S. and China, which has eased tensions related to rare earth exports and reduced fears of a deeper trade conflict.

However, U.S. markets ended Thursday lower, reacting to mixed Big Tech earnings. The S&P 500, Nasdaq Composite, and Dow Jones Industrial Average all closed down.

In commodities, crude oil prices saw a slight dip, with WTI crude trading at $60.31 per barrel and Brent crude at $64.09 per barrel. Gold prices in India are also provided.

Currency movements showed the U.S. Dollar Index (DXY) trading lower, while the Indian Rupee appreciated 0.56% to close at 88.70 against the dollar.

Investor flows reveal that Foreign Institutional Investors (FIIs) were net sellers on Thursday, offloading shares worth Rs 3,078 crore. Conversely, Domestic Institutional Investors (DIIs) continued their buying spree, making net purchases of Rs 2,469 crore.

Impact: The market sentiment remains cautious, influenced by global economic developments and domestic investor activity. The US-China trade deal is a positive factor, but mixed US earnings and FII selling could create headwinds. DII buying offers some support. The impact on the Indian stock market is rated 7/10.

Heading: Difficult Terms and Their Meanings

GIFT Nifty: An index representing Indian stocks traded in GIFT City, Singapore. It often indicates the likely opening trend of Indian markets.

Benchmark Indices: Stock market indexes like the Sensex and Nifty, which represent the overall market performance.

Volatile Session: A trading period characterized by significant and rapid price fluctuations.

FII (Foreign Institutional Investor): Overseas entities that invest in Indian securities.

DII (Domestic Institutional Investor): Indian entities like mutual funds and insurance companies that invest in Indian securities.

US Dollar Index (DXY): A measure of the U.S. dollar's value against a basket of six major foreign currencies.