Markets Brace For Historic Annual Dip As Sensex, Nifty Outlook Softens

India’s stock market is witnessing a crucial turning point as prolonged global volatility, cautious foreign investment flows, and moderating corporate earnings weigh on investor sentiment. A fresh Reuters poll indicates benchmark indices may close the year in negative territory for the first time in over a decade.

Despite the near-term weakness, market experts remain cautiously optimistic about medium-term growth prospects for Indian equities.

Revised Market Forecasts

Similarly, the Nifty 50 is forecast to touch 26,000 by end-2026 and 27,000 by mid-2027, compared to earlier expectations of 27,750 and 28,150.

What Is Driving Market Caution

Key Highlights

• Nifty 50 and Sensex may record first annual decline since 2015
• Sensex projected at 84,150 by end-2026
• Nifty 50 expected to reach 26,000 by end-2026
• Forecasts revised lower compared to February Reuters poll
• Domestic inflows and economic resilience remain positive triggers
  
  

Sources: Reuters Poll, Market Analysts, BSE, NSE