January 2026 futures for SGX Nifty fell by 94.00 points, suggesting a possible negative start for the Nifty 50 today.
Institutional Flows:
On 16 January 2026, provisional data indicated that foreign portfolio investors divested shares amounting to a significant sum, whereas domestic institutional investors recorded net purchases totaling a noteworthy amount in the Indian equity market. Foreign institutional investors have sold shares totaling Rs 26,052.40 so far in January. Their cash sales totaled Rs 34,349.62 crore in December, in contrast to Rs 17,500.31 crore in November.
Global Markets:
The Asian market saw a broad downturn on Monday, as investors assessed the potential impacts of the Trump administration’s recent threats concerning Greenland, in conjunction with the release of significant economic data from China on that day. China has released its fourth-quarter GDP figures, along with December statistics for retail sales, urban investment, and industrial output. China’s economic growth slowed to its lowest point in nearly three years in the fourth quarter, driven by a drop in domestic demand. Nonetheless, the annual growth matched Beijing’s goal, despite rising trade conflicts with the U.S. and a continuing decline in the real estate market.
Over the weekend, U.S. President Donald Trump had a tense discussion with European leaders about the Arctic territory. Trump threatened tariffs on eight European nations while expressing a desire for control over Greenland, which is under Danish sovereignty. European leaders described the threats as “entirely misguided” and “intolerable.” Data from the National Statistics Bureau revealed that gross domestic product experienced a growth of 4.5% during the October-to-December period, as reported on Monday. The most recent data shows a slowdown from 4.8% in the third quarter, marking the lowest growth rate since the first quarter of 2023, which also had a growth of 4.5%. The full-year economic output stood at 5%, matching the official target of around 5%.
On Friday in the U.S., the main index concluded just below the flatline, marking a week of losses, while another major index experienced a slight decline of 0.06%. The Dow Jones Industrial Average saw a decrease of 0.17%. The three major indexes hit their session lows after Trump’s comments in the White House on Friday, showing support for National Economic Council Director Kevin Hassett to stay in his role, while suggesting that Hassett might not be chosen as the next U.S. Fed chair. Hassett is seen as the preferred option to take over from the current Fed chair, especially when compared to the top contender, former Fed Governor Kevin Warsh, and is expected to be more likely to keep rates lower.
Domestic Market:
Benchmark equity indices ended Friday with modest gains, ending a two-day decline, as renewed buying interest in IT stocks emerged following Infosys’s quarterly performance that surpassed expectations and revised its full-year revenue growth outlook upward. Market sentiment received a boost from the ongoing December-quarter earnings season, as investors anticipate the Q3 results of Reliance Industries later today. The Nifty finished above the 25,650 level, supported by increases in IT shares and certain banking stocks.
In a positive turn of events, early indications from the Maharashtra assembly elections showed that the BJP-Shiv Sena alliance was in the lead. Political stability and continuity in governance are generally viewed as beneficial for economic growth and steering policy direction in the markets.
Nonetheless, the overall potential for growth was constrained by declines in the pharmaceutical and healthcare sectors, which ended the trading day negatively. The index saw an increase of 187.64 points, reflecting a rise of 0.23%, reaching a level of 83,570.35. The index rose by 28.75 points, showing a gain of 0.11%, bringing the total to 25,694.35. The 50-unit index saw a decrease of 0.48% in the past two sessions.