Stock Market Outlook Today On June 8: Will Positive GIFT Nifty Override Global Market Weakness?
Stock Market Outlook Today, June 8, 2026: The Indian stock market is expected to open volatile on June 8, Monday, with investors grappling between the favourable policy tone of the RBI and cautious global signals. The GIFT Nifty indicated a positive opening for the domestic equity market as it traded higher, but the steep selloff in the global markets and rising geopolitical tensions in the Middle East will keep the traders at the edge for the most part of the trading day. The decision of the RBI to maintain the repo rate at 5.25% and the cautious-to-dovish stance were supportive for the sentiment, especially the banking stocks. The weak performance in the US and Asian markets, along with surging crude oil prices, would continue to impact the investor sentiment in the short run. Market participants would also react to the recent US employment data released after the closing of the Indian market on Friday, which would set the tone for global trading.
The most dominant domestic driver for Dalal Street would be the monetary policy announcement by the Reserve Bank of India (RBI) released Friday. The apex bank maintained the repo rate at 5.25%, which signifies confidence in the economic growth but continues to provide support to the economic activity. The policy statement resulted in buying interest across the rate-sensitive sectors and the banks and financials witnessed significant action. The Bank Nifty closed at an all-time high intraday of 54,865.50, highest in over two months, indicating huge institutional activity after the RBI policy announcement on Friday. Ankit Jaiswal, Senior Research Analyst, Univest, stated that the RBI has relieved the investors from the apprehension about liquidity and borrowing costs which would further support equities in the short term.
GIFT Nifty at 8:35 AM was trading at 23,194, up 96.50 points or 0.42% though the global markets turned out to be weak. This comes after Nifty 50 closed at 23,366.70, down 0.21% on Friday, while the Sensex was trading at around 74,115. The positive GIFT Nifty trend indicates that investors are first focusing on domestic positives: RBI policy support and easing volatility.
One of the strongest technical signals from last week’s trade was the sharp decline in India VIX.
The volatility index hit an intraday low of 13.46 on Friday before closing at 15.79. This was its lowest level in several weeks and indicates less fear among market participants.
On average, lower readings of volatility tend to favour risk taking and improve investor confidence, especially when accompanied by stable monetary policy conditions.
Domestic factors remained supportive but global markets looked different heading into the week.
US stocks tumbled Friday, led by technology shares. The Nasdaq fell 4.1% with profits taken out in semi and AI based stocks on poor guidance from Broadcom. The S&P was down 2.7% and the Dow Jones off 1.3% plus.
The weakness spilt into Asia Monday morning.
South Korea’s benchmark indices were under severe pressure, with circuit breakers tripped after the KOSPI fell more than 5% and the KOSDAQ dropped more than 6%. Technology giants Samsung Electronics and SK Hynix reportedly fell more than 10%.
Japan’s Nikkei 225 slipped by over 3.7 per cent, so was Hong Kong’s Hang Seng Index.
The upswing in India equities may find support capped amid sharp correction across global indices despite a bullish trend in the domestic sentiment.
Another aspect influencing today’s trade is the sharp jump in the crude oil prices.
Brent crude had climbed up by as much as 3.6% to touch $96.48 a barrel on the back of increased tensions between Iran and Israel due to new missile attacks that fueled the fear of a disruption in oil supply in the region. West Texas Intermediate approached $94 before retreating.
A continued rally in crude oil prices may stoke inflationary pressures and take a toll on corporate earnings for India as it imports most of its crude oil.
The market saw institutional flows that may be offering a glimmer of hope last week. Foreign institutional investors were net sellers, although the rate of sale significantly decreased compared to May, when outflows were heavy. On June 4, FIIs net sold Indian equities worth Rs 4,475.76 crore, while domestic institutional investors net bought worth Rs 3,986.44 crore. Widening of the gap between FII selling and DII buying is an indication of easing market volatility.
Kunal Singla, Associate Director at Univest, says Nifty is still in a consolidation zone but continues to stay above important support levels.
The immediate support zone is placed around 23,250-23,300, while resistance is around 23,500-23,600. A sustained move above resistance could pave way for fresh upside, while weakness below support may trigger profit booking.
Post RBI policy outcome, banking sector remains the strongest segment in the market. Traders need to remain cautious in technology stocks given sharp correction seen in global technology stocks.
The stock market outlook for June 8 is still cautiously optimistic. Supportive RBI policy signals, lower volatility in the market and easing foreign selling provide a conducive background for domestic equities. But global market weakness, geopolitical tensions and higher crude oil prices could cap gains and keep volatility elevated.
Investors should keep a close watch on global cues, crude oil movement and institutional activity, while also keeping a watch on key Nifty and Bank Nifty levels for directional cues.
(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.)
Priyanka Roshan is a business writer and assistant editor at the NewsX website who tracks everything from stock market swings and corporate earnings to personal finance trends and policy shifts. Known for turning fast-moving business developments into sharp, reader-friendly stories, she combines speed, accuracy, and a data-driven approach to break down complex financial news for everyday audiences.
With over 9.5 years of newsroom experience, Priyanka has worked with leading media organisations, including Moneycontrol, Times Now, and Ping Digital, covering diverse beats such as business, politics, technology, auto, travel, sports, and the world. From live breaking news desks to SEO-led digital storytelling, she specialises in creating engaging content that keeps readers informed without overwhelming them.
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