Domestic markets are anticipated to open flat to slightly negative on Thursday, influenced by mixed signals from global markets. Following the US Federal Reserve’s recent hawkish stance while maintaining interest rates, analysts predict continued volatility in the markets. With Maharashtra Day falling on Friday, traders are likely to avoid holding positions during this period of uncertainty, according to Hariprasad K, SEBI-registered Research Analyst and Founder of Livelong Wealth.
“Although domestic indices are hovering near critical levels, the overall landscape appears fragile due to high oil prices, global uncertainties, and a significant economic event calendar,” noted Hariprasad K.
The Gift Nifty is projected to indicate a gap-down opening of approximately 80 to 90 points. Asian markets have opened predominantly lower, reflecting weakness previously observed on Wall Street. Ongoing geopolitical tensions, particularly concerning supply disruptions, continue to dampen risk appetite and render markets sensitive to news developments, Hariprasad added.
Amid inflationary pressures linked to the conflict in Iran and ongoing concerns regarding the labor market, the Federal Open Market Committee opted to hold the federal funds rate steady at 3.5% to 3.75%. This marks the third consecutive meeting in which the Federal Reserve has kept its benchmark interest rate unchanged while signifying that rate cuts might be forthcoming in the months ahead, a position that has met with notable dissent among policymakers.
Ajitabh Bharti, Executive Director and Co-founder of CapitalXB, described the Fed’s decision to maintain rates as a double-edged sword for Indian investors. “While this action prevents a significant sell-off, the absence of a rate cut may cause Foreign Institutional Investors (FPIs) to remain cautious about reallocating capital into Indian equities until US yields decrease,” he emphasized.
Ponmudi R, CEO of Enrich Money, a SEBI-registered online trading and wealth-tech firm, indicated that Indian equity markets are likely to exhibit a cautious bias in the near term. He anticipates heightened volatility amid various global macroeconomic factors and ongoing geopolitical tensions. “The Federal Reserve’s decision to keep interest rates unchanged underscores its data-dependent approach, balancing inflation risks with growth concerns even as uncertainties remain high due to the ongoing conflict in West Asia,” Ponmudi noted.
Published on April 30, 2026.
