Indian stocks seen opening higher as crude eases and foreign money returns

what happened

Reuters reports that Indian shares are likely to open higher on Monday, supported by lower crude prices and hopes for continued foreign inflows. GIFT Nifty futures traded at 25,057.5 at 8:06 a.m. IST, pointing to a firm start for the Nifty 50, which ended Sunday's special Diwali session at 24,986.4 after a slight dip.

Both the Nifty 50 and the BSE Sensex eased slightly on Sunday, pausing after a run of seven straight winning sessions. Through Friday the indexes had climbed about 10.5%, their longest winning streak this year. Foreign investors have bought more than $4.1 billion of Indian shares so far in November, already their biggest monthly inflow since September 2024.

Brent crude slipped almost 1% to $97.5 a barrel after US President Donald Trump said a fresh strike on Iran was highly unlikely while peace talks continue. Asian markets rose 0.8% after a turbulent week in which doubts about chip demand drove tech-heavy regions to their sharpest drops in years.

why it matters

Cheaper crude lowers import costs for oil-dependent India and eases inflation pressure, while steady foreign inflows add liquidity to the local market. Investors will watch whether the rally holds after such a sharp run-up, and whether oil stays under pressure if the Iran talks continue.

market impact

Indian stocks: cheaper crude and foreign inflows support the Nifty 50 and Sensex

• ▲Nifty 50 pressure up — foreign inflows and lower oil costs support sentiment after a seven-session rally
• ▼Brent pressure down — easing Middle East tensions reduces the premium for possible supply disruptions

tags

instruments