Indian equity benchmarks ended sharply lower on Friday ahead of India’s GDP growth rate data, which will due later in the day. Markets made a negative start and extend their losses amid a weak trend in global markets and fresh foreign fund outflows. Selling pressure intensified in the final leg of trade, dragging indices deeper into the red, with losses of around 1.2%, as traders remained cautious after the latest round of Iran-U.S. nuclear talks in Geneva concluded without any agreement.

Some of the important factors in trade:

Foreign fund outflows: Sentiments remained downbeat as Foreign Institutional Investors (FIIs) offloaded equities worth Rs 3,465.99 crore on Thursday.

Indian companies to sustain 8-10% Y-o-Y revenue growth in Q4 2025-26: Traders took note of the rating agency ICRA has estimated that Indian companies to sustain favourable Year-on-Year (Y-o-Y) revenue growth of 8-10% in Q4 2025-26 (vis-a-vis 10.6% YoY increase in Q3 2025-26). 

India, Israel to hold next round of negotiations in May 2026: Traders overlooked that the Commerce Ministry has said India and Israel are likely to hold the next round of in-person negotiations in May 2026 in Israel, with the aim of fast-tracking the free trade agreement (FTA) process.

On the global front: European equity markets traded mostly in green despite lingering concerns regarding artificial-intelligence related layoffs and workforce disruption. Asian markets ended mixed as Nvidia's strong earnings and guidance failed to dispel investors’ fears over the durability of an AI boom.

The BSE Sensex ended at 81287.19, down by 961.42 points or 1.17% after trading in a range of 81159.15 and 82246.17. There were 4 stocks advancing against 26 stocks declining on the index. (Provisional)

The only gaining sectoral index on the BSE was IT up by 0.27%, while Realty down by 2.25%, Telecom down by 1.83%, Auto down by 1.81%, Metal down by 1.57% and Basic Materials down by 1.56% were the top losing indices on BSE. (Provisional)

The few gainers on the Sensex were HCL Technologies up by 1.22%, Trent up by 1.10%, Infosys up by 0.82% and Eternal up by 0.02%. On the flip side, Bharti Airtel down by 2.44%, Bajaj Finserv down by 2.38%, Mahindra & Mahindra down by 2.29%, Interglobe Aviation down by 2.26% and Maruti Suzuki down by 2.26% were the top losers. (Provisional)

Meanwhile, India has said the meeting between Prime Minister (PM) Narendra Modi and his Canadian counterpart Mark Carney next week will provide an opportunity to advance a forward-looking partnership between India and Canada. Carney will undertake a four-day visit to India beginning Friday, marking his first trip to the country as Prime Minister.

The Canadian prime minister’s first stop will be Mumbai, where he will take part in business meetings and interact with prominent corporate leaders, financial professionals, and innovators from both nations. The Canadian leader will arrive in New Delhi on Sunday, and the two prime ministers will hold wide-ranging talks on Monday.

The Ministry of External Affairs (MEA) said both leaders will assess the progress made so far in various sectors of the India-Canada strategic partnership, building on their earlier meetings in Kananaskis and Johannesburg in June and November, respectively. The MEA said ‘They will also take stock of ongoing cooperation in key pillars, including trade and investment; energy; critical minerals; agriculture; education, research, and innovation; and people-to-people ties. The two leaders will also exchange views on regional and global developments.’

The CNX Nifty ended at 25178.65, down by 317.90 points or 1.25% after trading in a range of 25141.30 and 25476.40. There were 4 stocks advancing against 45 stocks declining on the index, while one stock remained unchanged. (Provisional)

The few gainers on Nifty were HCL Technologies up by 1.14%, Trent up by 1.13%, Infosys up by 0.85%, and Apollo Hospital up by 0.60%. On the flip side, Sun Pharma down by 2.73%, Bharti Airtel down by 2.61%, HDFC Life Insurance down by 2.55%, Dr. Reddy's Lab down by 2.50% and Mahindra & Mahindra down by 2.50% were the top losers. (Provisional)

European markets were trading mostly in green; UK’s FTSE 100 increased 48.65 points or 0.45% to 10,895.35, and Germany’s DAX gained 90.48 points or 0.36% to 25,379.50, while France’s CAC fell 9.13 points or 0.11% to 8,611.80.