SGX Nifty October 2026 futures declined by 29 points, indicating a bearish start for the Nifty 50.
Institutional Flows:
Foreign portfolio investors acquired shares valued at Rs 3,458.70 crore, whereas domestic institutional investors recorded net purchases amounting to Rs 2,891.32 crore in the Indian equity market on 22 October 2026, as per provisional data. Foreign Portfolio Investors divested shares amounting to Rs 51,075.50 crore in October, up to the 22nd of the month in 2026. This follows net selling of Rs 45,536.89 crore in September 2026, while FPIs were net buyers of Rs 17,366 crore in August 2026.
Global Markets:
Dow futures indicated a decline of 145 points, suggesting a weaker opening for US equities. Asian indices experienced a decline on Friday, 23 October 2026, as fresh apprehensions regarding artificial intelligence expenditures prompted a selloff in technology stocks, leading investors to seek refuge in safer assets. The selloff was precipitated by a notable downturn in US technology stocks, as earnings reports from Meta Platforms and Tesla did not alleviate apprehensions regarding the expenses and profitability associated with AI investments. Semiconductor shares experienced significant declines, as escalating oil prices and geopolitical tensions in the Middle East contributed to heightened uncertainty regarding inflation and global economic growth. Japan’s September inflation data introduced an additional factor for investors to contemplate. Core consumer prices, excluding fresh food, increased by 2.1% year on year, marking an acceleration from the 1.7% recorded in August. An underlying inflation measure that also excludes fuel increased by 2.4%, in contrast to 1.9% in August. The figures bolstered the argument for additional monetary tightening by the Bank of Japan.
US stocks concluded the trading session on Thursday, 22 October 2026, with a mixed performance, as heightened apprehensions regarding the expenses associated with AI investments prompted a significant selloff in the technology sector. The Dow Jones Industrial Average increased by 11.89 points, representing a change of 0.02%, reaching a level of 52,867.98. The S&P 500 declined by 93.74 points, representing a decrease of 1.21%, settling at 7,663.43. Meanwhile, the Nasdaq Composite experienced a drop of 694 points, equivalent to a 2.6% fall, closing at 26,008.86. The Nasdaq experienced its most significant daily percentage drop since early June. The Philadelphia SE Semiconductor Index sank 6.7%, marking its largest daily percentage decline since June 23. Despite the technology-led decline, the majority of US stocks experienced gains, suggesting that the losses were primarily confined to high-growth shares. Investors shifted their focus to US government bonds, resulting in a decline in Treasury yields amid growing apprehensions regarding AI expenditure and economic expansion. Meta Platforms shares experienced a decline of approximately 7% on Thursday, even as the company reported third-quarter revenue that surpassed analysts’ expectations.
Investors concentrated on the company’s increasing expenditures related to AI and its intentions to issue non-voting shares to facilitate its investments. The announcement has reignited apprehensions regarding the capital requirements and prospective returns associated with substantial investments in AI infrastructure. Tesla shares experienced a decline of 3.1%, even in light of reporting positive free cash flow and revising its projected capital expenditure for 2026 down to $20 billion from a previous estimate of $25 billion. The updated spending forecast provided minimal comfort to investors who remain apprehensive about growth prospects and the potential returns on forthcoming investments. Spotify experienced an 11% increase following the announcement of elevated revenue figures and a rise in the number of premium subscribers. Comcast advanced 3.4% following adjusted earnings per share that surpassed expectations, even in the face of a revenue decline. US initial jobless claims decreased by 6,000 to 194,000 in the week ending 17 October 2026, as reported by the US Department of Labour. The previous week’s figure was adjusted upward to 200,000 from 199,000.
The latest reading fell short of the market consensus of 200,000, suggesting ongoing robustness in the labour market. Continuing claims increased by 25,000, reaching 1.728 million for the week ending 10 October. Brent crude futures experienced a decline of 0.2%, settling at $112.96 per barrel in the early hours of Asian trading on Friday. The slight decline came after a notable increase of approximately 4% in the prior session, which had propelled oil prices to a five-month peak. Brent is poised to achieve a third consecutive weekly gain. Oil prices have been bolstered by apprehensions regarding potential disruptions to energy supplies in the wake of Houthi attacks in Saudi Arabia. The US 10-year Treasury yield neared a one-month low of 4.953%, dipping below the 5% threshold as investors gravitated toward the relative safety of government bonds.
Domestic Market:
The key equity benchmarks experienced a decline for the third consecutive session on Thursday, with the Nifty dropping below the 22,700 mark. Rising crude oil prices above $110 per barrel, coupled with escalating geopolitical tensions, have exerted pressure on investor sentiment. Broader market indices experienced a decline, with all sectoral indices closing lower, with the exception of the pharmaceutical sector. IT and FMCG stocks experienced a decline, while the rupee ended its eight-session streak of gains. The S&P BSE Sensex declined by 460.30 points, representing a decrease of 0.62%, closing at 73,249.39. The Nifty 50 index experienced a decline of 123.70 points, representing a decrease of 0.54%, closing at 22,687.65. In the past three consecutive trading sessions, both the Sensex and Nifty have experienced a decline of 1.98% each.
