Indian equity benchmarks are poised to open higher on Monday, aiming to break a five-session losing streak that has weighed on investor sentiment.
The positive outlook is supported by upbeat global market cues and a notable retreat in Brent crude prices, which have eased input-cost pressures for the energy-importing economy.
GIFT Nifty futures, the key pre-market indicator for Indian stocks, were trading at 24,612.5, signaling a gap-up start for the Sensex and Nifty 50.
This marks a sharp reversal from the previous session, where futures had dipped to 23,864, reflecting renewed selling pressure and fears of a gap-down open.
The decline in oil prices is driven by growing hopes for a de-escalation in geopolitical tensions, particularly regarding Iran.
Lower crude costs are a significant tailwind for India, which relies heavily on imported energy.
The retreat in oil prices supports the earnings outlook for domestic companies by reducing inflationary pressures and improving trade balance dynamics.
This development follows a period of volatility in Indian markets, where IT sector strength had previously offset crude pressure from Iran talks.
The current move suggests that energy-market dynamics are once again dominating the cross-asset reaction, with investors pricing in a more favorable cost environment.
Traders will be watching for follow-through in the cash market to confirm the strength of the opening rally.