India’s benchmark indices Sensex and Nifty fell more than 4% through January 2026 amid foreign portfolio investor outflows, rupee weakness, mixed earnings and global uncertainty. Analysts cited risk-off sentiment driven by geopolitical tensions, crude prices, bond yields and renewed tariff concerns, with attention now turning to Union Budget signals.
Indian equity benchmarks Sensex and Nifty fell more than 4% in January 2026, pressured by sustained foreign portfolio outflows, a weakening rupee and soft corporate earnings. Investors also faced heightened global uncertainty, including geopolitical risks and renewed tariff concerns.
India’s benchmark indices saw a January slide of more than 4% as foreign selling pressure, a weaker rupee, subdued earnings and global uncertainty dampened sentiment, keeping investors cautious through the month.
India’s benchmark indices have slipped more than 4% in January as foreign portfolio investors continued to sell, the rupee weakened to record lows and global uncertainty weighed on sentiment ahead of the Union Budget season.
Ratings agency Crisil said the RBI is likely to keep policy rates unchanged at its 4–6 February 2026 MPC meeting, citing early signs of inflation firming after the December cut. The report also projected India’s GDP growth could ease to about 6.7% in FY27, as the balance between growth and inflation remains the key policy focus.
India and the European Union have concluded negotiations on a comprehensive Free Trade Agreement after nearly 20 years of talks, Commerce Secretary Rajesh Agrawal said. The text is undergoing legal scrubbing, and the pact is expected to be signed later in 2026, with ratification steps on both sides before it can enter into force.
India’s benchmark indices Sensex and Nifty fell more than 4% in January 2026, weighed down by foreign portfolio outflows, a weaker rupee, subdued earnings and heightened global uncertainty, with investors watching for cues ahead of Budget season.
India’s foreign exchange reserves rose sharply by $14.167 billion to $701.36 billion for the week ended 16 January 2026, according to Reserve Bank of India data. The rise was led by an increase in foreign currency assets and a notable jump in the valuation of gold reserves.
Ahead of the Union Budget on 1 February 2026, expectations include individual income-tax relief, simplified customs duties, dispute amnesty ideas and a clearer plan for debt reduction amid geopolitical uncertainty.
India’s benchmark indices Sensex and Nifty fell over 4% in January 2026 amid sustained foreign portfolio investor (FPI) outflows, a weaker rupee, muted earnings and global risk-off sentiment. Analysts said geopolitical tensions, tariff concerns, crude prices and bond yields have kept investors cautious ahead of the Union Budget.
Indian equities ended higher, snapping a five-session losing run, as markets recovered from oversold levels amid global cues. Investors are continuing to monitor Q3 earnings, geopolitics and developments linked to trade talks, with volatility measures also showing movement.
India is set to slash tariffs on imported cars from the European Union to 40% from as high as 110%, sources said, in a major opening of its protected auto market as both sides close in on a long-awaited free trade agreement. The plan reportedly applies to a limited quota of higher-priced cars, with further reductions over time.