SGX Nifty October 2026 futures declined by 22 points, suggesting a bearish start for the Nifty 50 in light of unfavourable global signals.
Institutional Flows:
On 28 September 2026, foreign portfolio investors divested shares amounting to Rs 5,353.22 crore, whereas domestic institutional investors recorded net purchases totalling Rs 5,189.02 crore in the Indian equity market, as per provisional data. Foreign Portfolio Investors divested shares amounting to Rs 29,255.58 crore in September up to 28 September 2026. This follows net cash purchases of Rs 17,366 crore in August 2026, while they were net buyers of Rs 6,731.97 crore in July 2026.
Global Markets:
US Dow Jones index futures declined by 61 points, indicating a weaker opening for US equities. Asian markets experienced a decline on Tuesday, reflecting the overnight losses observed on Wall Street. Increasing crude oil prices and US Treasury yields have persistently impacted risk sentiment. US stocks concluded the trading session on Monday with a decline, influenced by sustained high oil prices and elevated Treasury yields. Additionally, the ongoing developments related to OpenAI exerted further pressure on technology shares. Geopolitical uncertainty exerted pressure on sentiment following US President Donald Trump’s dismissal of an Iranian proposal associated with the reopening of the Strait of Hormuz.
OpenAI exerted pressure on AI-related stocks following reports indicating that the company had halted the training of certain advanced AI models. The development has prompted apprehensions regarding the velocity of investment in AI, alongside the demand for semiconductor technology and data-center infrastructure. The Dow Jones Industrial Average experienced a decline of 0.67%. The S&P 500 declined by 0.77%, whereas the Nasdaq Composite experienced a decrease of 0.92%. US Treasury yields have experienced an upward trajectory, driven by anticipations of additional interest-rate increases. The 10-year Treasury yield increased to approximately 5.24%, marking its highest point since 2007, while the 30-year yield ascended to about 5.56%, close to its peak in over twenty years.
Crude oil prices experienced an increase for the second consecutive session, driven by apprehensions regarding potential disruptions in supply from the Middle East. Brent crude settled at $105.28 a barrel, reflecting an increase of 0.9%. Investors will concentrate on the US JOLTS job openings data set to be released later on Tuesday, alongside remarks from Federal Reserve officials such as Michelle Bowman, Austan Goolsbee, and John Williams.
Domestic Market:
The key equity benchmarks concluded the day with significant declines on Monday, as rising tensions between Iran and the United States led to an increase in crude oil prices, heightening concerns regarding potential extended supply disruptions. Rising US Treasury yields, a depreciating rupee, persistent foreign investor selling, and lacklustre cues from Asian markets have compounded the pressure. Brent crude approached $107 a barrel, while the US 10-year Treasury yield exceeded 5.2%. Ongoing foreign portfolio investor selling has further undermined market sentiment.
The Nifty concluded its trading session beneath the 22,800 threshold. The sell-off was widespread, with all sectoral indices concluding in the negative territory, primarily driven by downturns in the banking, real estate, and metal sectors. The S&P BSE Sensex declined by 1,124 points, representing a decrease of 1.52%, closing at 72,771.72. The Nifty 50 index experienced a decline of 360.25 points, reflecting a decrease of 1.56%, closing at 22,780.25.
