GIFT Nifty:

The GIFT Nifty April 2026 futures currently traded 138 points lower, suggesting a red start for the benchmark index today.

Institutional Flows:

Foreign portfolio investors (FPIs) sold shares worth Rs 8,167.17 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 8,088.70 crore in the Indian equity market on 02 April 2026, provisional data showed.

The FIIs had sold shares worth Rs 26,429.45 crore in April (till 06 April 2026). This follows their cash sales of Rs 122,540.41 crore in March, Rs 6,640.78 crore in February and Rs 41,435.22 crore in January 2026.

Global Markets:

Asia markets whipsawed in volatile trading on Tuesday, with major indexes flipping to losses in the morning session, as traders assess Iran war-related developments.

U.S. President Donald Trump threatened to target Iran's civilian infrastructure if a peace deal is not reached in less than 24 hours, while also signaling that the Iranian leadership was negotiating in earnest.

Trump reiterated his demand for Iran to open the Strait of Hormuz by 8 p.m. Tuesday, which would allow traffic to start flowing again through the vital route for global energy supplies ' warning the U.S. would decimate every bridge and power plant within four hours of that deadline not being met.

The U.S. and Iran are weighing a framework plan to end their 5-week-old conflict, with Tehran pushing back against Trump's pressure to swiftly reopen the Strait of Hormuz under a temporary ceasefire, and repeating its demand for a lasting end to the war.

Iran has rejected the U.S. ceasefire proposal and floated its own 10 points, including an end to hostilities in the region, a protocol for safe passage through the Strait of Hormuz, lifting of sanctions, and reconstruction, according to Axios.

Overnight on Wall Street, the S&P 500 rose on Monday for a fourth session as oil prices teetered and traders hoped that the U.S.-Iran war could end soon.

The broad market index added 0.44% to close at 6,611.83, while the Nasdaq Composite gained 0.54% and ended at 21,996.34. The Dow Jones Industrial Average climbed about 165.21 points, or 0.36%, to settle at 46,669.88.

Domestic Market:

The domestic equity benchmarks staged a sharp rebound on Monday, extending gains for a third straight session.

After a weak start, the indices reversed course decisively in the afternoon, driven by reports of a possible Iran-US de-escalation, easing crude prices and supportive global cues.

Despite the recovery, sentiment remained cautious ahead of the RBI's monetary policy decision on Wednesday.

The Nifty plunged to an intraday low of 22,542.95 in mid-morning trade before rebounding sharply to close at 22,968.25, reflecting a strong late-session recovery. The rally was led by banking and financial services stocks.

The S&P BSE Sensex climbed 787.30 points or 1.07% to 74,106.85. The Nifty 50 index soared 255.15 points or 1.12% to 22,968.25. In three consecutive sessions, the Sensex surged 3% while the Nifty gained 2.85%.