Dalal Street is expected to open on a positive note on Friday after a mid-week holiday, supported by strong earnings from Infosys and encouraging global cues.
Early indicators point to a higher start for domestic equities. Gift Nifty futures were trading at 25,790 around 7:56 am, above the Nifty 50’s previous close of 25,665.6 on Wednesday. The Sensex and Nifty were shut on Thursday due to a local holiday, making Wednesday the most recent trading session.
The primary boost to market sentiment is coming from Infosys. The IT major surprised investors by raising its full-year revenue growth guidance and offering a confident outlook on demand conditions.
Infosys now expects revenue growth of 3% to 3.5% for the year, up from its earlier forecast of 2% to 3%, citing steady client spending on technology and improved momentum in its core financial services business.
Following the announcement, Infosys’s US-listed shares rallied sharply. The company’s American Depository Receipts jumped 10.21% in New York on January 14 after it reported earnings that beat market expectations.
On the operational front, revenue from the financial services segment—accounting for nearly one-third of total revenue—rose 3.9% during the quarter. The communications segment posted the strongest growth, expanding 9.9%. Infosys also highlighted several AI-led deal wins in 2025, including projects with Adobe and Germany’s Siemens AG.
However, profitability remained under pressure. Infosys reported a 2.2% year-on-year decline in net profit to Rs 6,654 crore for the quarter.
Investors are now awaiting results from other heavyweight companies. Earnings from Reliance Industries, Wipro, HDFC Bank and ICICI Bank, expected later on Friday and Saturday, are likely to influence the market’s next directional move.
The expected positive opening follows a weak stretch for the benchmarks. The Sensex and Nifty have declined in seven of the last eight sessions, with the Nifty down 2.5% and the Sensex lower by 2.8% over the period.
Markets have been weighed down by concerns over potential US tariff actions, global geopolitical risks and sustained selling by foreign portfolio investors (FPIs). FPIs have remained net sellers in January, offloading shares worth Rs 47.81 billion on Wednesday alone, according to provisional data. In dollar terms, foreign investors have sold about $2.11 billion so far this month, extending the heavy outflows seen in 2025.
Market sentiment remains fragile despite near-term support, said Gaurav Garg, Markets Desk at Lemonn Markets.
“Both benchmark indices have declined in six of the last seven sessions amid concerns over US tariff measures, geopolitical tensions and persistent FPI outflows. Foreign investors have sold nearly Rs 16,600 crore worth of equities so far in January, following heavy selling in 2025,” Garg said.
He added that volatility was heightened by the advancement of the weekly derivatives expiry to Wednesday, although positive cues from Asian markets offered some support.
“Technically, the Nifty has managed to hold above the 25,620–25,715 support zone. A sustained move above 25,715 could trigger a recovery towards 26,020, while a break below 25,600 may open the downside towards 25,300,” Garg said.
