Pre-Market: FIIs Buy ₹2,251 Cr Ahead of Union Budget Sunday Trade
- By Rini Mehta
- 01 Feb 2026 at 8:46 AM IST
- Market News
- 4m
Today, 1 February 2026, Indian equity markets will hold a rare Sunday trading session as traders focus on the Union Budget announcements. The Budget address is set for the morning, and traders are preparing for any changes as information starts to come in.
The setup comes after a mixed close on Friday, 30 January. Benchmarks ended lower in late trade, weighed down by selling in metal and IT stocks. FMCG and healthcare, however, offered partial support.
Friday's Market Recap
Markets spent much of Friday oscillating before slipping in the final hours. The Nifty 50 ended 0.39% lower at 25,320.65, giving up early gains as profit-taking emerged across several high-performing stocks. The Sensex followed a similar path, closing down 0.36%, or around 300 points, at 82,269.78.
FII–DII Activity
With net acquisitions of ₹2,251 crore in cash equity, foreign institutional investors have returned to the buying side. The change was perceived as a move ahead of budget releases and represented a departure from recent prudence.
Domestic institutional investors moved the other way, with net sales of ₹601 crore. The selling followed several weeks of steady accumulation that had helped cushion the market during earlier declines.
Budget 2026: Key Announcements in Focus
Finance Minister Nirmala Sitharaman outlined a 12 lakh crore capital investment plan to improve urban development and transit infrastructure in her February 1 budget speech.
Revised tax slabs that eliminate income tax liability up to ₹12 lakh for some middle-class earnings were among the tax-related improvements. Incentives for the use of sustainable energy, such as funding for electric cars and rooftop solar systems, were also described in the budget.
Initiatives for skill development and increased financial support were among the measures for small enterprises. In light of the overall debt situation, the administration also reaffirmed its ~4.4% fiscal deficit target.
Recent Market Trends
Benchmark indices had a little drop of roughly 0.5% for the week ending January 30. Reduced international participation was compensated by robust domestic institutional buying.
GIFT Nifty was indicating a slightly cautious tone late Friday, trading near 25,420, up 0.06%. The futures signal pointed to measured positioning rather than aggressive risk-taking ahead of the special session.
Global Markets Snapshot
As of 30 January, the S&P 500 slipped 0.43%, and the Dow Jones dropped about 0.36%.
In the Asian markets, Japan’s Nikkei also dropped 0.099%, with Hong Kong’s Hang Seng down by 2.08%, weighed down by property sector concerns and muted stimulus expectations from China.
Sectors in Focus
Following the capex announcements, infrastructure-related businesses, including major construction firms, are anticipated to continue to receive attention. Additionally, utility and renewable energy stocks that back the budget's clean energy initiative are also in focus.
What to Expect in Today's Market?
It is anticipated that reactions to budget specifics, rather than more general trends, will drive trading throughout the Sunday session. Participants will keep a close eye on real-time GIFT Nifty indications for guidance, institutional flow statistics, and currency movement.
Sources:
Meet Rini Mehta, a keen follower of the stock markets and economy. With over five years of experience in the field, Rini holds an M.A. in Economics and is a graduate in Financial Markets. Beyond her role as a research analyst, Rini has a knack for writing, with a penchant for crafting engaging financial and behavioural finance blogs. She likes to bring a unique perspective to her work, making complex financial concepts accessible to all readers. In her spare time, Rini enjoys indulging in her hobbies of painting and playing the violin.
Note: The opinions expressed in this blog are personal viewpoints and should not be construed as recommendations.
0 people liked this article.
