The SGX Nifty May 2026 futures are presently down by 125 points, indicating a likely negative start for the benchmark index today.

Institutional Flows:

On 06 May 2026, provisional data indicated that foreign portfolio investors (FPIs) divested shares amounting to Rs 5,834.90 crore, whereas domestic institutional investors (DIIs) emerged as net buyers with an investment of Rs 6,836.87 crore in the Indian equity market. Foreign Institutional Investors have divested shares amounting to Rs 6,620.86 crore up to May 6, 2026. Their cash sales amounted to Rs 70,135.46 crore in April, Rs 122,540.41 crore in March, and Rs 6,640.78 crore in February.

Global Markets:

Asian markets experienced a notable rally on Thursday, highlighted by Japan’s Nikkei 225 reaching 62,000 for the first time, as investors chose to overlook the escalating tensions in the Middle East. The wider regional progress followed President Donald Trump’s caution that Iran would face bombing “at a much higher level” should it not reach a peace agreement. Recent threats from Trump emerged alongside reports indicating that Washington and Tehran were approaching a potential agreement to conclude the conflict. The president, in a social media post, stated that the U.S. military offensive referred to as Operation Epic Fury “will be at an end” if Iran “agrees to give what has been agreed to, which is, perhaps, a big assumption.”

In such a scenario, the U.S. naval blockade of Iranian ports in the Gulf of Oman would “allow the Hormuz Strait to be OPEN TO ALL, including Iran,” as stated by Trump. In the U.S. overnight, there was an increase in stock values in response to recent events in the Middle East. The S&P 500 increased by 1.46%, closing at 7,365.12, whereas the Nasdaq Composite rose by 2.02%, finishing at 25,838.94. Both indexes reached new peaks and concluded at record levels. The Dow Jones Industrial Average increased by 612.34 points, representing a rise of 1.24%, finishing the day at 49,910.59.

Oil prices experienced a significant decline on Wednesday, driven by optimism surrounding a potential agreement between the U.S. and Iran to resolve the conflict responsible for the most substantial energy supply disruption in history. Reports indicate that U.S. officials have stated the White House is approaching a one-page, 14-point memorandum of understanding aimed at concluding the war and laying the groundwork for more comprehensive nuclear discussions.

Domestic Market:

The primary equity benchmarks experienced a notable increase on Wednesday, driven by a boost in investor sentiment fueled by growing optimism regarding a possible peace agreement between the US and Iran. The market commenced with significant advancements, influenced by positive global indicators and a notable drop in crude oil prices following U.S. President Donald Trump’s indication of substantial progress towards a potential agreement with Iran.

Cooling geopolitical tensions have led to Brent crude prices falling below the $105-per-barrel threshold, while the rupee has made a robust recovery, stabilizing around the 94-per-dollar mark. The Nifty advanced beyond the 24,300 threshold, driven by strong demand in banking stocks. With the exception of the Nifty FMCG index, all sectoral indices on the NSE concluded the trading session solidly in positive territory.