Flat Open Seen for Nifty, Sensex as Trade Talks Take Focus

Indian equity benchmarks are set for a flat-to-negative open Tuesday, with Gift Nifty at 24,125 pointing to a subdued start. Analysts cited profit taking and low participation ahead of the Muharram holiday on Friday. They expect FPI buying to cushion the session.

Asia Pacific equities traded mixed. Rajesh Palviya, head of research at Axis Direct, said the region's cautious sentiment reflected global risk aversion, though Brent crude staying below $80 remains supportive for India's macro outlook through lower inflation pressures.

India VIX held at 12.84. Om Mehra of SAMCO Securities said the level continues to reflect a low-volatility environment that has supported the recent uptrend.

Ponmudi R, CEO of Enrich Money, said comments from the U.S. vice president that there is a "good foundation" for finalising a proposed agreement between the U.S. and Iran have reinforced optimism that talks remain on a constructive path, boosting hopes of a lasting resolution in the Middle East.

Investors are also watching India-U.S. trade talks. India is seeking tariff concessions as part of efforts to finalise a bilateral trade agreement. U.S. Trade Representative Jamieson Greer is expected to visit India this week for discussions with Commerce Minister Piyush Goyal. Ponmudi added that any progress would be viewed positively by markets given its potential to strengthen trade ties and support long-term growth.

Traders will watch for concrete developments from Greer's visit this week.