Indian equities look set to open higher on Friday, with the benchmark indexes expected to claw back some ground after a heavy selloff dragged them to multi-year lows and left them deeply oversold. Rising oil prices and fresh US pressure on a key green-card route used by Indian IT firms could limit how far the recovery goes.
Early Signals Point to a Positive Start
GIFT Nifty futures were trading at 22,379.5 at 7:41 a.m. IST. That is above Thursday’s Nifty 50 close of 22,231.80 and suggests a firmer opening. On Thursday, the Sensex ended at a 32-month low, and the Nifty fell to its weakest level in 18 months.
What Triggered the Selloff
Three pressures hit the market at once:
- Costly crude oil. Elevated prices have stoked inflation worries.
- Higher global bond yields. These tend to pull money away from emerging markets.
- A weaker rupee. The currency is around 96.79 to the dollar.
These worries deepened after the Reserve Bank of India’s hawkish rate hike earlier this week.
Foreign Investors Sell, Domestic Funds Step In
Foreign portfolio investors sold a net ₹129.44 billion (about $1.3 billion) of Indian equities on Thursday, their biggest single-day outflow since May 29, 2026. Domestic institutions cushioned the fall by buying a net ₹107.03 billion of shares.
After the sharp decline, the indexes are in oversold territory. Analysts say that points to weak momentum but also raises the chance of a short-term technical rebound.
Oil Is the Main Risk
Brent crude hovered near $104 a barrel after jumping 4% on Thursday. Escalating tensions in the Middle East and worries about supply disruption from a hurricane approaching the US Gulf Coast drove the surge. For India, a major oil importer, higher crude means a bigger import bill, more inflation pressure and a weaker rupee.
IT Stocks Under Double Pressure
Software shares may hold back any recovery. Tata Consultancy Services, the country’s largest IT company, reported its slowest September-quarter revenue growth in three years, adding to concerns over client spending.
On Thursday, the US also suspended major IT outsourcing firms from the Permanent Labor Certification Program, a key pathway to green cards. Sumit Singhania, head of research at Bajaj Broking, said the sector was already under pressure and the move adds another layer of uncertainty.
Stocks to Watch Today
- JSW Steel: Crude steel production rose 5% year on year in the September quarter to 7.27 million tonnes.
- Dr Reddy’s Laboratories: The US drug regulator issued a Form 483 with two observations after inspecting its Pydibhimavaram facility in Andhra Pradesh.
- Lupin: Received US regulatory approval for a drug used to treat low blood clotting.
- NCC: Won an order worth ₹12.86 billion for radial road construction in Telangana.
What to Watch Next
- Whether Brent holds near $104 or climbs further
- The rupee’s direction and the pace of foreign outflows
- Further details of the US restrictions on IT outsourcing firms
- Early earnings from other IT companies after TCS
This article is for information only and is not investment advice. Market levels are as of early morning on October 9, 2026, and may change quickly.
Frequently Asked Questions
Will the Indian market open higher on Friday?
GIFT Nifty futures at 22,379.5 point to a positive start, versus Thursday’s Nifty close of 22,231.80.
Why did the Sensex and Nifty fall so sharply?
High crude prices, rising global bond yields and a weaker rupee raised inflation fears, following the RBI’s rate hike.
How much did foreign investors sell?
A net ₹129.44 billion on Thursday, the most in a single day since May 29, 2026.
What does “oversold” mean?
It means prices have fallen so fast that a short-term bounce becomes more likely, even if the broader trend is weak.
Why are IT stocks under pressure?
TCS posted its weakest September-quarter revenue growth in three years, and the US suspended major IT outsourcing firms from the Permanent Labor Certification Program.
Where is Brent crude trading?
Near $104 a barrel after a 4% jump on Thursday.
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