Stock Market Outlook Today, June 4: Will Sensex, Nifty Open Lower Today? GIFT Nifty Signals Weak Start Amid Global Jitters

Stock Market Outlook Today, June 4: Indian benchmark indices are likely to open Thursday’s trading session on a weak note, as GIFT Nifty indicated a negative opening in early trade, taking cues from a cautious global trend and persisting worries over geopolitical tensions. At 7:42 AM, GIFT Nifty was at 23,300.50, down 198.50 points or 0.84% from its previous close. The Sensex and Nifty are to open in the red.

The weak sign came in the wake of Indian benchmark indices closing in the red on Wednesday, with the Nifty 50 slipping 77.95 points to settle at 23,405.60 and the Sensex plunging 303.67 points to finish at 74,346.17. Information technology stocks saw a sharp fall in the market, but ICICI Bank, HDFC Bank and State Bank of India led the rebound.

In today’s trading session, investors will closely watch global cues, crude oil prices, developments in West Asia, and sector rotation. The big question now is whether banking shares can continue to prop up the broader market even as technology shares remain under pressure after Wednesday’s sharp correction.

GIFT Nifty Signals Gap-Down Start

Indications of a gap-down opening for Indian equities are evident in the fall in the GIFT Nifty. The futures index has seen significantly more movement overnight, shedding 200-odd points. It has touched an intraday high of 23,555.50 and a low of 23,161.50 from the previous close.

Banking Versus IT: The New Market War

The biggest theme from Wednesday’s session was the shift in leadership from IT stocks to banking shares. Nifty IT fell 5.57 per cent, its biggest fall in a single day in 2026. Bank Nifty rose 0.88 per cent to 54,185.95.

Major lenders like HDFC Bank, ICICI Bank, SBI and Kotak Mahindra Bank closed higher, pointing to institutional buying in financial stocks. Market participants will watch if the trend continues today and helps in stabilising benchmark indices despite weak global cues.

Mixed Global Cues

US Market Update

Wall Street ended mixed overnight with investors awaiting geopolitical events and volatility in crude prices. The Dow Jones Industrial Average was down over 620.72 points in early trade, and the S&P 500 lost 56.10 points. The Nasdaq Composite lost ​239.92 points.

Asia Market Update

But it wasn’t the case across the pond, as Asia was trading lower at the start of trade Thursday. The Nikkei 225 of Japan and the Kospi of South Korea both posted big losses, with the Australian S&P/ASX 200 also showing weakness. The market throughout Asia remained cautious as investors believed the high price of oil would sustain inflation and therefore pose problems for world interest rates.

Banks Taking The Helm

Another significant point from Wednesday’s session was the return of banking stocks. Bank Nifty went up 0.88% to close at 54,185.95, ending a five-day decline. Leading banks like HDFC Bank, ICICI Bank, SBI and Kotak Mahindra Bank were on the rise, suggesting that institutional investors might be shifting towards financials after the tremendous rise of IT stocks in the early days of the week.

Traders believe that this rotation may benefit the broad indices even if tech stocks consolidate in the short-term.

Nifty 50 Levels To Watch For Today

The Nifty’s outlook remains cautiously bullish as the index managed to defend key support near the 200-week moving average, says Ankit Jaiswal, senior research analyst at Univest.

First support is seen around 23350. A sustained move above 23400 post opening could boost bullish sentiment. On the positive side, traders will be looking to see if the index reclaims higher levels if bank stocks continue to attract buying interest.

However, a fall below 23,150 may dent the near-term outlook and bring in fresh selling pressures.

Bank Nifty View

Post the broad-based rally seen on Wednesday, Kunal Singla, associate director, Univest, remains constructive on the banking index.

Bank Nifty above 53,900 would continue the bullish setup with upside targets around 54,299 and 54,582, he said. A fall below 53,541 could drain momentum and make the outlook neutral.

The broad-based participation by all the major banking heavyweights in the rally is seen as a positive signal in terms of market breadth and institutional confidence.

Wipro Buyback In Spotlight

Besides sectoral trends, Wipro will remain in traders’ focus as June 4 is the last trading session for investors to get eligible for the company’s Rs 15,000 crore buyback.

The stock closed Wednesday lower despite the upcoming record date, suggesting the buyback-related optimism is largely priced in. However, analysts expect the stock to be active in today’s session as investors adjust positions ahead of the deadline.

What Investors Should Look For

Banking sector strength, global market sentiment, crude oil prices and Middle East developments are the key factors for today’s trade. The sharp correction in IT stocks may not reverse immediately, but banking stocks seem to be taking over as the leadership group for the market.

However, if Nifty sustains the 23,350-23,400 zone and Bank Nifty continues with its upmove, the broader market may attempt to bounce back, albeit with the existing global uncertainties.

(Disclaimer: This article is for informational purposes only and should not be considered investment advice. The views, opinions, and recommendations expressed herein are those of the respective experts. Readers are advised to consult a qualified financial advisor before making any investment decisions.)

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