The SGX Nifty May 2026 futures are presently down by 436.30 points, indicating a subdued start for the benchmark index today.
Institutional Flows:
On 12 May 2026, provisional data indicated that foreign portfolio investors (FPIs) divested shares amounting to Rs 1,959.39 crore, whereas domestic institutional investors (DIIs) recorded net purchases totaling Rs 7,990.32 crore in the Indian equity market. Foreign Institutional Investors have divested shares amounting to Rs 21,469.30 crore in the month of May, up to the 12th of May 2026. This follows their cash sales of 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 exhibited a mixed performance on Wednesday, as investors processed an inflation reading for April that exceeded expectations, alongside apprehensions regarding rising oil prices and the persistent conflict in the Middle East. President Donald Trump on Monday characterized the month-old ceasefire between the U.S. and Iran as “unbelievably weak” and “on massive life support,” following his dismissal of a “unacceptable” counterproposal from Tehran aimed at resolving the conflict.
Defense Secretary Pete Hegseth stated that Trump does not require congressional approval to resume strikes on Iran. The statement follows the administration’s crossing of the 60-day threshold mandated by federal war powers legislation to obtain authorization for the use of military force. In the interim, market participants are likely to concentrate on the forthcoming discussions between Trump and Chinese President Xi Jinping, with trade issues anticipated to be a central topic of conversation.
Overnight on Wall Street, the S&P 500 experienced a decline on Tuesday, influenced by setbacks in technology stocks and rising oil prices, as market participants responded to an unexpectedly high annual consumer price index reading for April. The broad market index experienced a decline of 0.16%, concluding at 7,400.96, while the Nasdaq Composite fell by 0.71%, settling at 26,088.20. The Dow Jones Industrial Average advanced 56.09 points, or 0.11%, and ended at 49,760.56.
Domestic Market:
The domestic equity indices concluded the day with significant losses on Tuesday, marking the fourth consecutive session of declines in the face of increasing global uncertainty. Investor sentiment continued to exhibit fragility, influenced by escalating crude oil prices, unprecedented weakness of the rupee, ongoing foreign fund outflows, and revived apprehensions regarding the tenuous U.S.-Iran ceasefire.
Concerns regarding extended interruptions in global oil supply chains and escalating inflation have increasingly dampened risk appetite. Selling pressure in IT stocks escalated following OpenAI’s announcement of a new $4 billion AI deployment venture, which has sparked concerns regarding potential disruptions within the technology services sector. The Nifty concluded the trading session beneath the 23,400 threshold, primarily influenced by significant declines in the IT and consumer durable sectors. All sectoral indices on the NSE concluded the trading session in negative territory.
The S&P BSE Sensex declined by 1,456.04 points, representing a decrease of 1.92%, closing at 74,559.24. The Nifty 50 index experienced a decline of 436.30 points, representing a decrease of 1.83%, closing at 23,379.55. Over the course of four consecutive trading sessions, the Sensex experienced a decline of 2.5%, whereas the Nifty 50 recorded a decrease of 2.1%.