SGX Nifty January 2026 futures declined by 38.00 points, suggesting a subdued start for the Nifty 50 today.
Institutional Flows:
On 12 January 2026, provisional data indicated that foreign portfolio investors (FPIs) divested shares amounting to Rs 3,638.40 crore, whereas domestic institutional investors (DIIs) recorded net purchases totaling Rs 5,839.32 crore in the Indian equity market. The foreign institutional investors have divested shares amounting to Rs 15,425.22 up to this point in January. This follows their cash sales of Rs 34,349.62 crore in December and Rs 17,500.31 crore in November.
Global Markets:
On Tuesday, the Asian market experienced an upward trend as traders dismissed geopolitical tensions in Iran and Venezuela, along with a criminal investigation involving U.S. Federal Reserve Chair Jerome Powell. Japan’s benchmark index, the Nikkei 225, surged by 3.4%, taking the lead in regional gains. Reports indicate that Japan’s ruling Liberal Democratic Party is anticipated to dissolve the country’s Lower House later this month, paving the way for a snap election likely to occur in February.
Market participants will be monitoring oil prices closely in light of the continuing protests in Iran. President Donald Trump is said to be considering various options for intervention in Iran, as indicated by several sources. In a recent social media post, Trump indicated that any country engaging in business with Iran would incur a 25% tariff “on any and all business being done with the United States of America.” The newly implemented tariff on imports from Iran’s trading partners is “effective immediately.”
During the overnight session in the U.S., equities rebounded from their lowest points, with the S&P 500 and Dow Jones Industrial Average achieving new record highs. The S&P 500 increased by 0.16%, closing at 6,977.27. Meanwhile, the Dow Jones Industrial Average gained 86.13 points, or 0.17%, finishing at 49,590.20. Both indexes reached new all-time intraday highs and concluded at record levels. The Nasdaq Composite experienced an increase of 0.26%, concluding the session at 23,733.90.
Domestic Market:
Domestic equity benchmarks ended a five-day losing streak on Monday following a significant intraday recovery. The shift was influenced by favorable global indicators, opportunistic purchasing, and encouraging remarks regarding India-US trade relations from the newly appointed US Ambassador to India, Sergio Gor. The Sensex, initially down over 700 points in early trade, managed to recover more than 1,000 points from the day’s low by the close. The Nifty rebounded above the 25,790 mark as market sentiment strengthened, driven by gains in metals, PSU banks, and energy stocks.
The market responded following Gor’s statement that India and the US are maintaining active engagement on trade, with discussions ongoing despite existing differences. He also relayed greetings from President Donald Trump to Prime Minister Narendra Modi. Sentiment experienced an additional uplift following Gor’s announcement that India is set to be invited next month to join PaxSilica. The recovery exhibited a wide-ranging nature. Bank Nifty experienced a significant rebound, whereas midcap and smallcap indices recovered a substantial portion of their earlier losses. Export-oriented stocks experienced an uptick as concerns regarding an imminent tariff escalation subsided following weeks of persistent selling and foreign fund withdrawals.
The S&P BSE Sensex increased by 301.93 points, reflecting a rise of 0.36%, reaching a total of 83,878.17. The Nifty 50 index experienced an increase of 106.95 points, reflecting a rise of 0.42%, closing at 25,790.25. Over the last five consecutive trading sessions, the Sensex experienced a decline of 2.54%, whereas the Nifty recorded a decrease of 2.45%.