The Nifty 50 is positioning for a potential second-half recovery after suffering a nearly 9% decline in the first half of 2026, driven by a confluence of geopolitical tensions and fundamental headwinds.
The benchmark index has faced sustained selling pressure, with major technology names including Infosys, TCS, Wipro, and HCL Technologies posting sharp losses as global demand concerns weighed on the sector.
Market sentiment is shifting as key macro risks appear to be abating.
Lower crude oil prices are reducing import bill pressures, while the Indian rupee has shown signs of stabilization against the dollar.
These developments are encouraging investors to reassess valuations in Indian equities, which have lagged significantly behind global peers.
While major US indices such as the S&P 500 and Dow Jones Industrial Average concluded the first half with record-breaking performances, Indian markets have struggled to find footing amid the broader risk-off environment.