(Reuters) - India's benchmark Nifty 50 index is set to open marginally higher on Thursday after sinking into correction territory in the previous session, while in-line U.S. inflation data boosted expectations of a Federal Reserve rate cut in December.

India’s benchmark NSE Nifty 50 Index entered a so-called correction amid persistent selling by foreign investors and a weak results season that’s led to earnings downgrades.

India's benchmark Nifty 50 threatened to end in correction territory on Wednesday amid a market slide as a spike in inflation dampened hopes of a rate cut next month, adding to concerns over dull earnings and sustained foreign outflows.

The trends on Gift Nifty also indicate a weak start for the Indian benchmark index. The Gift Nifty was trading around 23,620 level, a discount of nearly 38 points from the Nifty futures’ previous close.

Stock Market Highlights: 29 out of the 50 constituent stocks of the benchmark NSE Nifty50 ended lower, dragged by Hindustan Unilever, Britannia Industries, BPCL, Tata Consumer, and Nestle India

Indian stock markets opened slightly lower on Thursday, continuing a downward trend driven by corporate earnings downgrades, higher inflation, and for