Indian Bull Run: Markets Surge as Foreign Investors Buy In

Indian stock markets rise as foreign investors bolster the Nifty 50 and BSE Sensex amid reduced selling pressure. With the RBI MPC meeting underway, traders are closely monitoring potential policy shifts that could impact market dynamics. Sectoral indices show mixed performance, with notable investments in key indices.

On a bullish note, Indian stock markets have witnessed significant gains as the selling pressure diminishes and foreign investors infuse fresh funds into the markets. The Nifty 50 index opened at 24,539.15 points, marking a 0.29 percent rise, while the BSE Sensex commenced trading at 81,182.74 points, reflecting a 0.28 percent increase.

With the Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) meeting taking place in Mumbai, market participants are keenly observing any signals, though expectations for a rate cut remain low. If the RBI adjusts its stance in response to a waning economy, it could have far-reaching implications on market sentiment. According to Ajay Bagga, a Banking and Market Expert, addressing the dual challenges of escalating inflation and a slowing economy is critical for the RBI at this juncture. Bagga noted that the prolonged maintenance of high real interest rates has curbed aggregate demand, impacting urban areas more than anticipated, particularly amid constrained government spending.

Of the Nifty 50 stocks, 23 recorded gains, 26 saw declines, and one remained unchanged as this report was filed. Sectoral indices on the NSE displayed varied outcomes, with gains observed in Nifty FMCG, Nifty IT, Nifty Consumer Durables, and Nifty Oil & Gas, while other indices noted declines. Foreign investors injected Rs 1,797 crore into equities on Thursday.

Akshay Chinchalkar, Head of Research at Axis Securities, highlighted a pivotal Ichimoku signal turning positive, suggesting that maintaining short-term support could propel the market towards 24,800 points. Meanwhile, Asian markets exhibited mixed trends, with Japan's Nikkei 225 index increasing by 0.54 percent, Taiwan's Weighted index rising by 0.36 percent, but Hong Kong's Hang Seng index dropping by 1.14 percent, and South Korea's KOSPI remaining almost flat.

In the United States, the market momentum persisted with the S&P 500 climbing by 0.61 percent and the Nasdaq seeing a rise of 1.29 percent, indicating a positive trend in global markets. (ANI)

(With inputs from agencies.)