Global Markets Today, October 8, 2026: Asia Declines, Oil Up; Lower Start Seen For Indian Equities

Mumbai, October 8: Indian equity benchmarks are likely to open lower on Thursday, tracking weakness across Asian markets and renewed gains in crude oil prices, while elevated US bond yields could keep risk appetite in check. The Nifty 50 and Sensex may face pressure at the open, with investors also keeping an eye on the Federal Reserve’s rate outlook and geopolitical developments. 

Asian Markets Trade Lower 

Asian equities traded mostly lower in early trade, with Japan’s Nikkei 225 falling 0.9% and South Korea’s Kospi declining the same. MSCI’s broadest index of Asia-Pacific shares outside Japan was also down 0.7%. 

The weakness came as higher borrowing costs and rising oil prices weighed on sentiment. Investors remained cautious amid concerns that persistent inflationary pressures could limit the scope for central banks to ease monetary policy. 

Elevated yields were made worse by reports of AI companies seeking to raise billions in debt. 

US Markets End Lower 

Wall Street ended lower on Wednesday, with the S&P 500 and Dow Jones snapping four-session winning streaks, while the Nasdaq declined for the first time in six sessions. 

The S&P 500 fell 0.22%, while the Dow Jones Industrial Average declined 0.66% and the Nasdaq Composite lost 0.22%. Dow Jones futures were down 0.12% in Asian trading on Thursday. 

Investors remained focused on US Treasury yields after the 10-year yield climbed to 5.326%, its highest level in 24 years, before easing to around 5.298%. 

Fed Minutes Keep Rate Outlook In Focus 

The rise in yields followed the release of minutes from the Federal Reserve’s September meeting, which showed that most policymakers still saw scope for another rate hike before the end of the year. 

The minutes reinforced concerns that interest rates could remain higher for longer, particularly if inflation proves sticky. This could keep foreign investors cautious towards emerging markets such as India. 

Oil Rebounds Above $100 

Crude oil prices added to the pressure on global equities. Brent crude futures rose 2% to $102.3 a barrel, while US West Texas Intermediate crude gained 1.8% to $89.9 a barrel. 

Brent’s return above the $100-a-barrel mark is a concern for India, which relies heavily on imported crude. Higher oil prices can raise the country’s import bill, pressure the rupee, squeeze corporate margins and complicate the inflation outlook. 

Indian Markets Seen Opening Lower 

The combination of weaker Asian equities, elevated US yields and firmer crude prices points to a lower start for Indian markets on Thursday. Domestic investors will also track the RBI’s policy stance and foreign fund flows for direction during the session. 

Source

•  Exchanges