Pre-Market Report: Muted Opening Expected as Global Tech Rout Weighs on Sentiment

Global Market Cues

The global backdrop remains challenging as the "AI fatigue" continues to rattle technology-heavy indices. On Friday, US markets ended on a mixed note; while the Dow Jones Industrial Average managed a marginal gain of 0.10%, the tech-heavy Nasdaq Composite slipped 0.22% as investors reassessed the valuations of artificial intelligence stocks. European markets also closed lower on Friday, dragged down by disappointing corporate earnings.

Today, Monday, February 16, 2026, the US stock markets will remain closed in observance of Presidents' Day, which is expected to lead to lower trading volumes globally. In Asia, several major markets including China and Hong Kong are closed for the Lunar New Year holidays. Japan’s Nikkei 225 is trading marginally lower in early deals, reflecting the overall cautious stance in the region.

GIFT Nifty and Domestic Cues

GIFT Nifty is currently trading at a discount, hovering around the 25,448–25,465 levels. This suggests a gap-down opening of approximately 50–70 points for the Nifty 50, which settled at 25,471.10 on Friday.

On the domestic front, the market is digesting the tail end of the Q3 FY26 earnings season. Technical analysts point out that Nifty has formed a large bearish candle on the daily charts, slipping below its 50-day Exponential Moving Average (DEMA). Immediate support is seen at the 25,350–25,400 zone, while a break below 25,300 could trigger further long unwinding toward 25,100.

Key Stocks in Focus

• IRCTC: The company reported a 15.5% YoY rise in consolidated net profit to ₹395 crore for Q3 FY26 and announced an interim dividend of ₹3.50 per share.
• Engineers India: Shares will be in focus after the company reported a massive 219% YoY surge in net profit to ₹347 crore, supported by a 58% jump in revenue.
• IT Stocks (TCS, Infosys, HCLTech): The sector remains under pressure following the global tech rout and emerging concerns regarding AI's impact on traditional service models.
• Metal Stocks: Hindalco and Tata Steel may see continued volatility due to profit-booking and fluctuations in global commodity prices.

Key Events to Watch Today

• US Market Holiday: Wall Street is closed today for Presidents' Day, which typically results in muted FII activity in the Indian cash segment.
• India WPI Data: Wholesale price index data for January is expected to be released today, with consensus estimates hovering around 1.25%.
• Lunar New Year: Extended holidays in China (Feb 16–23) will likely keep metal and commodity-linked stocks in a sideways range due to a lack of demand cues from the mainland.

TAGS: Pre-Market, Stock Market, Nifty, Sensex, Market Update

Tags: Pre-Market Stock Market Nifty Sensex Market Update