Stock market today: Sensex, Nifty may break losing streak. Here's why

Benchmark indices are expected to open higher on Monday, snapping a five-session losing streak, after crude oil prices plunged following a pause in hostilities between the United States and Iran over the weekend.GIFT Nifty futures were trading at 23,974.50 around 8 am, indicating the Nifty50 could open above Friday's close of 23,767.45.The positive sentiment comes after a bruising week for Dalal Street, during which the Sensex and Nifty fell 2.7% and 2.3%, respectively, amid soaring crude oil prices and concerns over bank earnings.Oil prices fall sharply, biggest relief for Dalal StreetThe biggest positive trigger for markets is the sharp decline in crude oil prices. Brent crude dropped nearly 4% to $93.08 per barrel, while WTI crude fell over 4% to $85.60 after Iran said it would halt attacks if the United States also refrained from further strikes, raising hopes of easing tensions in the Middle East.The fall in oil prices is expected to lift sentiment in Indian equities as lower crude prices help ease inflationary pressures, reduce India's import bill and improve corporate profit margins. The cooling of oil prices could also support the Indian rupee, which came under pressure last week as Brent crude briefly surged above $100 per barrel.FII selling offset by strong DII buyingForeign institutional investors (FIIs) remained sellers on Friday, pulling out Rs 3,892.77 crore from Indian equities in the cash market.However, domestic institutional investors (DIIs) continued to provide strong support, buying shares worth Rs 5,453.55 crore, helping cushion the impact of foreign selling.In the derivatives segment, FIIs bought index options worth Rs 7,104.61 crore and stock futures worth Rs 2,115.55 crore, while selling index futures worth Rs 1,201.59 crore and stock options worth Rs 1,433.01 crore, indicating mixed positioning ahead of the new trading week.Rupee may strengthenThe sharp correction in crude oil prices is also expected to benefit the rupee.The currency is likely to open in the 96.14-96.18 range against the US dollar after ending Friday at 96.5625. Traders expect lower oil prices and improving foreign currency inflows following recent RBI measures to support the rupee.Apart from global developments, investors will track corporate earnings for stock-specific cues.Tata Consumer Products could remain in focus after reporting better-than-expected June-quarter earnings and indicating it may raise prices for select products if input cost volatility persists.SBI Card may also be watched after posting improved quarterly profit on better asset quality, while Lodha Developers reported higher quarterly profit. Bank of Baroda, however, posted a decline in profit.With oil prices retreating sharply and geopolitical tensions showing signs of easing, sentiment is expected to improve at the start of the week. However, investors are likely to remain cautious as they monitor further developments in the Middle East, upcoming corporate earnings and global interest rate expectations.(Disclaimer: The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.)- EndsPublished On: Jul 27, 2026 08:36 IST