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Indian markets snapped their two-day winning streak and ended slightly lower as traders booked some profit after recent rally. Today, markets are likely to get cautious start amid subdued cues from Asian counterparts. There will be some cautiousness with report that after running surplus liquidity of about Rs 1.4 lakh crore for over two months, the banking system saw a decline in cash, prompting the Reserve Bank of India to inject Rs 6,956 crore on November 25. Traders may take note of Union Minister for Petroleum and Natural Gas Hardeep Singh Puri’s statement that Russia has become the largest supplier of crude oil to India, accounting for more than 35 per cent of the country's imports. However, some respite may come in the markets amid foreign fund inflows. Foreign investors net bought shares worth Rs 1,157.70 crore on November 26. Some support may come as External Affairs Minister S Jaishankar met US Secretary of State Antony Blinken and discussed the state of the world and the India-US partnership, which continues to move forward. There will be some buzz in banking stocks as data shared by Pankaj Chaudhary, Union Minister of State for Finance showed that Indian banks have written off loans worth Rs 1.7 trillion in financial year 2023-24 (FY24), compared to Rs 2.08 trillion in FY23. Loan write-offs by banks in FY24 are the lowest in the last five years. Adani group stocks will be in limelight after Fitch and Moody's downgraded the outlook for several Adani group companies from Stable to Negative, citing escalating legal and governance risks. Fitch also placed certain Adani firms under the Rating Watch Negative (RWN) status. There will be some reaction in telecom stocks with a private report that India is projected to have 270 million 5G subscribers by the end of 2024, making up 23 per cent of the country’s mobile subscriptions. This represents a significant rise from the 110-120 million 5G users recorded in 2023. Meanwhile, investors’ focus will be on NTPC Green Energy listing.

The US markets ended in green on Tuesday as technology stocks rebounded, while investors digested President-elect Donald Trump's tariff pledges on top trade partners and the latest minutes from the Federal Reserve. Asian markets are trading mostly in red on Wednesday even as US shares ended at record highs.

Back home, Indian equity benchmarks snapped two-day rally and closed marginally lower on Tuesday in line with weak global market trends amid concerns over tariff threats by US President-elect Donald Trump. Markets commenced the day on a firm note as traders took support with provisional exchange data showing that foreign institutional investors turned net buyers in Indian markets on Monday, snapping a record selling streak that had partly caused the country's benchmark indexes to confirm corrections earlier this month. FIIs were net buyers of stocks worth Rs 9,948 crore ($1.18 billion), after 38 consecutive sessions of being net sellers during which outflows totalled to about $16.5 billion. Some support also came as a government report said India expects food inflation to slow in the coming months, backed by a bumper summer crop harvest. However, key gauges erased all their gains in the morning trade and oscillated in a thin range throughout the day to end marginally lower, as some cautiousness came with the finance ministry’s report stating that India's economic outlook for the coming months is cautiously optimistic, with agriculture likely to benefit from favourable monsoon conditions, increased minimum support prices and adequate supply of inputs. Also, it said India’s export recovery may face challenges due to softening demand in developed markets. Some concern also came after a private report said that India's economy likely grew at its slowest pace in one-and-a-half years in the three months to end-September as weak consumption offset a strong recovery in government spending, which for years has helped drive growth. Finally, the BSE Sensex fell 105.79 points or 0.13% to 80,004.06, and the CNX Nifty was down by 27.40 points or 0.11% to 24,194.50.

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