Pre-Open Points To Blockbuster Start For Sensex, Nifty

Mumbai, November 11: Indian shares surged at pre open signalling a blockbuster start as crude prices remained soft and foreign investors stayed keen on local markets. 

Nifty 50 rose 1.6% and Sensex climbed 1.7% at pre open. 

Markets were closed yesterday for a holiday. The Nifty 50 and the BSE Sensex have advanced nearly 9% so far in November, supported by easing crude oil prices, robust domestic earnings and renewed foreign investor interest. Foreign portfolio investors (FPIs) have infused $5.68 billion into Indian equities this month, marking their highest monthly purchases since September 2024. A global selloff in semiconductor stocks has also contributed to the shift in foreign investor allocations towards India.  

Blackstone will invest approximately Rs 5,000 crore to acquire around 16% of IIFL Finance as part of a larger $682.9 million capital raise by the non-banking financial company. Tyre manufacturer MRF reported a nearly 28% decline in quarterly profit as elevated raw material costs offset strong demand for its products.  

Kalyan Jewellers India reported a 64% year-on-year increase in second-quarter profit, while revenue grew 31.4%, reflecting strong business performance. 

Asian markets climb on easing geopolitical concerns 

Asian markets advanced on Wednesday, extending the previous session’s recovery as easing concerns over a further escalation of the US-Iran conflict lifted risk appetite. Hopes of diplomatic efforts to end the conflict have helped ease concerns over energy supplies and the inflationary impact of elevated crude oil prices. 

The gains followed a strong showing in the previous session, when South Korea’s KOSPI surged 4.4% and Japan’s Nikkei gained 2.9%. On Wednesday, the KOSPI advanced another 1.5%, while the Nikkei climbed 0.8%. MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.99%, extending its recovery from a seven-month low touched last week amid a technology-led selloff. 

Wall Street slips as US inflation beats estimates 

The global sentiment backdrop remained mixed, however, after US inflation data came in hotter than expected. Wall Street ended lower on Tuesday, with the Dow Jones Industrial Average declining 0.3%, the S&P 500 falling 0.38% and the Nasdaq Composite losing 0.74%. 

US consumer prices rose 0.4% in October, exceeding economists’ expectations of a 0.3% increase. The reading fuelled concerns that the Federal Reserve could pursue a more aggressive monetary tightening path, with market expectations shifting towards a possible 50-basis-point rate hike in December. 

The inflation reading also triggered a sharp rise in US Treasury yields. The two-year Treasury yield registered its biggest single-day increase since April 2025, reflecting growing investor anxiety over the outlook for interest rates and global financial conditions. 

Crude oil retreat provides relief to Indian equities 

Crude oil prices remained another key driver of global market sentiment. Brent futures fell to a two-month low of $89.16 per barrel on Tuesday after US officials played down the possibility of further military action against Iran. Prices subsequently recovered to around $92 per barrel. 

The decline in crude prices is particularly significant for India, which relies heavily on oil imports. Lower energy prices can ease pressure on the country’s import bill and current account deficit, moderate inflationary pressures and reduce input costs for several industries. 

However, uncertainty surrounding US-Iran negotiations and the possibility of renewed geopolitical tensions could keep oil prices volatile. 

Source

• Exchanges