Indian shares are poised for a muted start on Wednesday after logging gains in the previous session, with rising oil prices and sustained foreign outflows weighing on sentiment while investors assess corporate earnings.
GIFT Nifty futures were at 22,764 at 7:50 a.m. IST, indicating a muted start for the Nifty 50, which closed at 22,721.95 on Tuesday.
Both the Nifty and Sensex climbed about 1.6% on Tuesday, led by information technology stocks after HCLTech's quarterly earnings beat expectations.
"While earnings and strength in IT provided some support, the rising crude oil prices on escalating Mideast tensions remain a significant concern, as they keep inflationary and external balance risks elevated," said Ponmudi R, CEO of Enrich Money.
"Overall, the near-term outlook has improved following the recent recovery, but the broader trend remains cautious," Ponmudi said.