Indian equity benchmarks Sensex and Nifty are expected to open largely flat on Friday, following a sharp selloff in the previous session. The GIFT Nifty, an early indicator of the NSE Nifty 50's performance, was trading around the 26,000 mark, suggesting a subdued start for domestic markets.
The previous session saw significant declines in both indices, with the Nifty 50 falling below key support levels. Market participants are closely monitoring global cues, including high bond yields and elevated crude oil prices, which continue to pose risks to the outlook.
Analysts note that rising US Treasury yields and concerns over prolonged higher interest rates have dampened investor sentiment globally. Additionally, crude oil prices remain a key variable for India, as the country is a major importer, and sustained high prices could pressure the trade deficit and inflation.
Domestic factors such as foreign institutional investor (FII) flows and upcoming economic data will also be in focus. Investors are advised to remain cautious amid the prevailing volatility.
