Pre-Market, 17 February 2026: After a Late Rally, Markets Eye Follow-Through

Indian markets head into the next session with a bit more confidence than they had last week. Monday’s late rally helped benchmarks snap a two-day losing streak and steady nerves.

The Nifty 50 closed at 25,682.75, up 211.65 points or 0.83%. The Sensex ended 650.39 points higher at 83,277.15. The rebound came after Friday’s sharp fall, when heavy FII selling and global worries had dragged indices lower.

What Drove The Bounce?

Several factors helped calm sentiments to some extent. These included:

• Positive global signals on long-term AI investments

• Cooling of US 10-year bond yields reviving hopes of a Fed rate cut later this year

• Updates around the India–US trade discussions and the tail end of Q3 earnings

However, market breadth was slightly negative. On the BSE, about 1793 stocks advanced, and 2510 declined.

Sectors Likely To See Action Today

Banking stocks are likely to stay in focus. Heavyweights such as HDFC Bank and Axis Bank saw strong buying. Traders appear comfortable with stable asset quality trends and improving loan growth commentary.

Power stocks may continue to attract interest. The sector gained on expectations of sustained demand and policy support. Names like Power Grid showed momentum.

Realty and pharma could also see activity. Realty has been drawing flows as traders rotate into rate-sensitive themes. Pharma counters are finding support amid stock-specific developments and defensive buying.

The undertone is cautious but not negative. Monday’s rally reduced immediate pressure. But the sharp FII selling seen on Friday, over ₹7,300 crores, is still fresh in traders’ minds.

Global Cues To Watch

Asian markets and US futures can guide early trade. Investors are also waiting for cues from upcoming Fed minutes. Any shift in rate expectations could influence flows. Crude oil and the rupee are likely to remain on the radar.

What Can Traders Expect Today?

Expect a watchful start. The undertone is positive after Monday’s rebound, but conviction is not very strong. The market may open steady and trade within a band unless fresh global cues trigger movement.

Banks and power stocks could continue to lend support. Broader markets may remain selective. Investors should watch whether buying expands beyond a few large caps. If participation improves, the Nifty could attempt to test higher levels. If not, it may consolidate around current zones.

Also Read - Post Market 16 February 2026

Sources:

Business Standard

The Hindu Business Line