Stock Market Today: Sensex, Nifty likely to open lower as global selloff rattles US, Asian markets

Indian equity markets are likely to open lower on Friday as a sharp selloff on Wall Street spilled over into Asian markets, triggering heavy losses in technology and semiconductor stocks. GIFT Nifty futures signalled a weak start for domestic equities, falling 168.50 points, or 0.68 per cent, to 22,775.

Global sentiment weakened after US equities suffered their steepest losses since the tariff-led market rout of April 2025. The Nasdaq Composite plunged 5.52 per cent, wiping out trillion dollars. The S&P 500 and Dow Jones Industrial Average declined 4.35 per cent and 3.44 per cent, respectively. The CBOE Volatility Index (VIX) surged nearly 70 per cent, reflecting heightened investor anxiety.

The selloff extended across Asia, with South Korea's Kospi plunging more than 8 per cent and triggering a circuit breaker, while Japan's Nikkei 225 fell around 6 per cent. Semiconductor heavyweights came under intense pressure amid concerns that tighter US regulation of artificial intelligence and a potential slowdown in AI infrastructure spending could hurt future growth and valuations.

For Indian markets, investors are likely to remain cautious, tracking global technology stocks, foreign institutional investor flows and movements in crude oil prices. Brent crude's rebound towards $100 per barrel has also revived inflation concerns, potentially complicating the outlook for India's import bill and corporate margins.

However, a recovery in US equity futures offered some relief after the overnight selloff. Investors will watch whether the rebound gathers momentum or global risk aversion persists. Given the fragile external environment, volatility is likely to remain elevated, with stock-specific action and selective buying potentially taking precedence over broad-based market gains.