Indian stocks set for lower open as oil nears six-month high ahead of Fed

what happened

Futures on the GIFT Nifty pointed to a weaker start for Indian equities on Tuesday, erasing part of the previous session's advance. Brent remains close to $115 a barrel, and traders are staying cautious ahead of the Federal Reserve's policy decision due later in the week, according to Reuters.

GIFT Nifty futures traded at 22,669.5 in early Indian hours, against the Nifty 50's Monday close of 22,753.2. The benchmark rose 0.7% on Monday, ending a four-session decline. Brent edged toward a six-month peak after attacks on Saudi Arabia dimmed hopes that tensions in the region would ease soon.

A Reuters poll of economists expects the Fed to leave rates unchanged on Wednesday, then resume tightening with a December hike.

why it matters

Expensive crude weighs on India, which imports the bulk of its energy, since it can fuel inflation, widen the fiscal gap and squeeze corporate profits. Foreign investors keep selling Indian shares: outflows reached 4.75 billion dollars in October alone and a record 32.56 billion so far in 2026. A hawkish Fed could strengthen the dollar and push yields higher, limiting capital flows into emerging markets.

market impact

Indian stocks: oil near $115 adds inflation and fiscal pressure; Fed guidance may shift emerging-market flows

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