Indian benchmarks seen opening little changed

India’s benchmark indexes are set to open flat on Wednesday, as investors fret over lofty valuations of local stocks and global trade uncertainties.

The GIFT Nifty futures were trading at 22,962.50 as of 08:16 a.m. IST, indicating that blue-chip Nifty 50 will open near Tuesday’s closing level of 22,945.30.

Asian equities were mixed in early trading, with the MSCI Asia ex-Japan inching 0.3% lower after U.S. President Donald Trump said he would impose tariffs on auto, pharmaceuticals and semiconductor imports.

Wall Street equities rose overnight, with the S&P 500 logging a record closing high.

Investors await the Federal Reserve’s January policy meeting minutes, due after market hours, amid comments from key officials signalling that the central bank is no hurry to cut rates.

India’s benchmark indexes have slipped as much as 13% from record high levels hit in September, with the broader market facing an even more aggressive sell-off.

Indian benchmarks end flat in breather after recent sharp falls

Foreign portfolio investors (FPIs) have sold shares worth $12.3 billion so far in 2025, inching close to the $16.5 billion sell-off seen in all of 2022, which was the highest foreign outflow from India in at least a decade.

Weak domestic earnings and lofty valuations spurred the foreign exodus from domestic markets in October, with strengthening dollar and U.S. bond yields further adding to the selling pressure over the last few months.