The S&P BSE Sensex slipped 17 points, or 0.02%, to 85,695 at the open, while the NSE Nifty 50 edged down 15 points, or 0.06%, to begin the session at 26,171.
On the 30-share Sensex, Bajaj Finance, Asian Paints, Bharat Electronics, ICICI Bank and Trent were among the early laggards, slipping between 0.3% and 1%.
Mid-cap and small-cap stocks were largely unchanged.
InterGlobe Aviation, the country’s largest airline operator, extended last week’s slide, dropping more than 4% after regulators flagged the carrier over thousands of flight cancellations.
Ola Electric jumped 3% after the company said it had begun mass deliveries of vehicles fitted with its domestically developed 4680 Bharat Cell battery pack.
Expert views
Emerging positive and negative news have the potential to keep the market volatile in the near-term and robust economic growth and indications of earnings growth revival are supportive of markets, said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments, adding that the massive fiscal and monetary stimulus to the economy this year has contributed to sharp revival in GDP growth as evidenced by the 8.2% Q2 GDP growth print, and RBI’s upward revision of FY26 GDP growth to 7.3% augurs well for the market.
“Low GDP deflator, consequent to low inflation, has impacted nominal GDP growth and corporate earnings growth. But from the leading indicators it is clear that about 15% earnings growth is achievable in FY 27. This is positive for the market. However, there are strong negatives, too, which can impact the market. Sustained depreciation of the rupee has been forcing FIIs to sell in the market continuously. Another major factor is the spike in Japanese bond yields which can trigger another bout of reversal of yen carry trade. In brief, there is potential for high volatility,” said Vijayakumar.
FII/DII Tracker
On the institutional front, Foreign Institutional Investors (FIIs) sold equities worth roughly Rs 439 crore on December 5, while Domestic Institutional Investors (DIIs) were net buyers to the tune of Rs 4,189 crore.
Global Markets
Asian markets wavered Monday as investors all but priced in a Federal Reserve rate cut this week, though the decision is shaping up to be one of the most contentious in years, with some officials openly pushing back against easing.
Futures now assign roughly an 85% probability to a quarter-point trim from the current 3.75%–4.0% range. A hold would be a major shock. A Reuters survey of 108 economists showed only 19 expect the Fed to stay put.
It’s a crowded week for central banks, with Canada, Switzerland and Australia also meeting and all expected to keep policy steady. The Swiss National Bank may prefer to counter the strong franc with another cut, but at a 0% policy rate it is reluctant to go negative.
Japan’s Nikkei slipped 0.3% after a modest gain last week. South Korea’s benchmark fell 0.3% as well, cooling after a 4.4% surge on confirmation of lower U.S. tariffs. MSCI’s Asia ex-Japan index was down 0.1% in subdued trading.
China’s blue chips will take direction from November trade data due later Monday, offering a read on export resilience amid ongoing tariff pressure.
In bonds, long-dated Treasurys softened on concerns the Fed could pair any cut with hawkish guidance. The 10-year yield edged up to 4.146% after rising 9 basis points last week.
Gold traded at $4,202 an ounce, just below Friday’s record spike to $4,259, while silver hovered near all-time highs.
Crude impact
Oil prices held near two-week highs Monday as traders bet a Federal Reserve rate cut this week will bolster U.S. growth and, in turn, fuel demand, while keeping a close eye on geopolitical risks threatening supplies from Russia and Venezuela.
Brent crude inched up 9 cents, or 0.14%, to $63.84 a barrel as of 0321 GMT. U.S. West Texas Intermediate added 8 cents, or 0.13%, to $60.16.
Rupee vs Dollar
The Indian rupee opened modestly weaker on Monday at 90.0625 per U.S. dollar, compared with Rs 89.98 at the previous close, extending the slight depreciation bias after the currency slipped past the Rs 90 mark last week.
The dollar index eased 0.1% to 98.87, with broader foreign-exchange markets largely subdued ahead of a heavy lineup of central-bank meetings in Australia, Switzerland and Canada.
(with inputs from agencies)
