Indian benchmark indices Sensex and Nifty are likely to open weak on Friday, with GIFT Nifty trading with sharp losses amid a global equity market rout triggered by fears of tighter artificial intelligence regulation following the US midterm elections.
The Nasdaq plunged more than 5 percent overnight, while Asian markets witnessed heavy selling, with South Korea's KOSPI triggering a circuit breaker. A rebound in crude oil prices could add to the pressure, although sustained foreign institutional buying may offer some support to Indian equities after six consecutive sessions of gains.
GIFT Nifty was trading at 24,415 around 8:10 am, down 185 points, or 0.75 percent. Indian equities rallied sharply on Thursday, with the Sensex surging 2,008.61 points, or 2.60 percent, to 79,310.01 and the Nifty jumping 576 points, or 2.40 percent, to 24,536.60. The indices extended their winning streak to six sessions, their longest since November 2025. Foreign institutional investors bought equities worth Rs 14,974 crore for a fifth consecutive session, while domestic institutions sold shares worth Rs 10,444 crore.
Share Markets Live Updates | Sensex, Nifty, GIFT Nifty Today
Asian equities plunged on Friday as fears of increased regulatory scrutiny of artificial intelligence companies and a slowdown in AI infrastructure investments triggered widespread selling in technology and semiconductor stocks.