Indian Markets Set for Gap-Down Start Amid Global Declines

Indian benchmark indices are anticipated to start lower on November 6, as GIFT Nifty was trading down by 188 points at 24,410.50 in early trade. On November 5, the domestic markets experienced a significant rally, with the Nifty closing above 24,500 for the first time since August 2026, driven by a sharp decline in crude oil prices and positive sentiment from foreign fund inflows.

At the close on November 5, the Sensex rose by 2,008.61 points to reach 79,310.01, while the Nifty increased by 576.00 points to finish at 24,536.60. The market capitalization of BSE-listed companies surpassed the Rs 500 lakh crore mark, rising by ₹8 lakh crore from the previous session.

In global markets, Asian stocks fell sharply, with South Korea's Kospi Index dropping significantly, influenced by concerns over potential tighter regulations on the artificial intelligence industry following the recent U.S. elections. The Nasdaq Composite in the U.S. also experienced its largest one-day decline in 19 months, as chipmakers faced heavy losses.

Foreign institutional investors continued their buying streak for the fifth consecutive session on November 5, purchasing equities worth Rs 14,974 crore, while domestic institutional investors sold off equities worth Rs 10,444 crore. Investors are closely monitoring developments in the Middle East and their impact on oil prices, which are on track for a significant weekly loss.