Nifty Rises, Sensex Flatlines At Pre-Open Pointing To Mixed Start

Mumbai, October 16: Indian shares diverged at pre open signalling a mixed start as Asian shares rebounded and yields eased. 

Nifty 50 rose 0.4% and Sensex climbed 0.04% at pre open.  

The Securities and Exchange Board of India (SEBI) on Thursday reversed its plan to use the closing auction session for settling expiring stock and index derivatives, opting instead for volume-weighted average prices recorded during the final 30 minutes of regular trading, following objections from market participants.  

Meanwhile, foreign portfolio investors (FPIs) sold Indian equities worth Rs 5,285 crore on Thursday, taking their net sales for 2026 to $32.8 billion, according to provisional data.  

Wipro reported July-September revenue slightly above market estimates, but deal bookings fell to their lowest level in nearly four years, raising concerns over its ability to compete with larger rivals and retain market share.  

Jio Financial Services posted a sharp increase in adjusted operating profit for the September quarter, supported by expansion in its lending business.  

HDFC Life reported higher quarterly profit, aided by improved policy sales through parent HDFC Bank, which helped boost premium income.  

Tech Mahindra exceeded revenue estimates for the September quarter and retained its FY27 operating margin target, supported by the ramp-up of large deals across its communications and other businesses. 

Asian Markets Today 

Asian stocks recovered on Friday, with Japan’s Nikkei rising 1.7%, South Korea’s KOSPI gaining 3.2% and Taiwan’s benchmark index advancing 0.6%, following Thursday’s technology-led rout. The rebound came as investors reassessed the AI trade amid concerns over rising debt and the returns on massive investments in data centres and computing infrastructure. 

Indonesia’s JSX Composite Index, however, plunged 10% after index provider MSCI downgraded the country’s market status, adding to uncertainty across the region. 

Currency markets also remained in focus, with the US dollar on course for a weekly decline, while the euro and British pound edged higher. Gold and crude oil prices eased marginally, although energy prices remained elevated amid geopolitical risks and uncertainty over potential changes to US sanctions on oil shipments. 

US Markets: AI Rout and Debt Concerns in Focus 

Concerns over the cost of financing AI infrastructure and the returns on substantial capital expenditure weighed on technology stocks. Cloud computing company CoreWeave remained at the centre of the sell-off amid concerns over its debt burden, while Oracle and chipmakers, including Nvidia, Micron Technology and Advanced Micro Devices, also faced pressure. 

Taiwan Semiconductor Manufacturing Company added to investor caution after flagging macroeconomic uncertainties in its outlook for 2027, despite reporting another record quarterly profit. 

The technology rout followed hotter-than-expected US inflation data, reinforcing concerns that the Federal Reserve could keep interest rates higher for longer. Higher borrowing costs could weigh on growth-stock valuations and intensify scrutiny of the profitability of the AI investment boom. 

However, Wall Street recovered some ground on Thursday, with the Dow Jones Industrial Average and S&P 500 closing higher, while the Nasdaq Composite posted a modest gain. 

Crude Oil Prices Today 

Brent crude traded around $105.51 per barrel, while US West Texas Intermediate crude stood at $97.30. Despite a slight retreat, oil prices remained elevated as investors assessed Middle East tensions, potential supply disruptions and possible changes to US restrictions on oil shipments. 

For India, higher crude prices pose a risk because of the country’s dependence on oil imports. Sustained price pressures could widen the import bill, weigh on the rupee and complicate the inflation and interest-rate outlook. 

Source

•  Exchanges