GIFT Nifty hints at flat opening for Nifty 50; U.S. Government shutdown risks to weigh on sentiment

GIFT Nifty:

GIFT Nifty September 2025 futures were trading with a gain of 9.00 points (or 0.04%) in early trade, indicating a possible flat opening for the Nifty 50 today.

Institutional Flows:

Foreign portfolio investors (FPIs) sold shares worth Rs 2,425.75 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 1,211.68 crore in the Indian equity market on 24 September 2025, provisional data showed.

According to public data, FPIs have sold shares worth Rs 19,458.68 crore in the cash market in so far in September 2025. This follows their cash sales of shares worth Rs 46,902.92 crore in August 2025.

Global Markets:

Asian markets traded mixed on Thursday as sentiment remained cautious following continued selling in U.S. technology stocks for a second consecutive session.

The weakness in Wall Street spilled over into Asia, with investors also positioning for upcoming month- and quarter-end portfolio rebalancing. According to media reports, such rebalancing could trigger selling pressure in U.S. and Japanese indices, while German and Australian markets are expected to benefit from fresh inflows.

Attention now shifts to key U.S. economic data later this week. The final estimate of second-quarter GDP is due Thursday, while the Fed's preferred inflation gauge'the Personal Consumption Expenditures (PCE) report'will be released on Friday. The looming risk of a U.S. government shutdown at the start of the new fiscal year adds to investor caution.

In commodities, oil prices eased after hitting a seven-week high in the prior session. Profit-taking followed a sharp rally sparked by an unexpected drawdown in U.S. crude inventories and ongoing concerns that Ukrainian strikes on Russian refineries could disrupt global supply chains.

Overnight on Wall Street, all three major indices closed lower as investors locked in profits after record highs. The S&P 500 fell 0.28% to 6,637.97, the Nasdaq Composite declined 0.34% to 22,497.86, and the Dow Jones Industrial Average slipped 0.37% to 46,121.28.

Domestic Market:

Domestic equities extended their losing streak for the fourth straight session on Wednesday, with the Nifty slipping below the 25,100 mark as weakness in private banks, auto and IT stocks dragged the benchmarks lower.

Investor sentiment remained fragile amid worries over changes in U.S. H-1B visa rules and persistent foreign fund outflows, which overshadowed hopes of a festive-season boost to consumption. Profit booking has also set in post-GST reforms as traders recalibrate valuations ahead of Q2 earnings.

The S&P BSE Sensex declined 386.47 points or 0.47% to 81,715.63. The Nifty 50 index lost 112.60 points or 0.45% to 25,056.90. In four sessions, the Sensex has slumped 1.56% and the Nifty has declined 1.44%.

Powered by Capital Market - Live News