Domestic Markets Maintain Momentum Amid Mixed Global Signals

The Indian stock markets opened on a cautious but positive note, edging closer to all-time highs amid global uncertainties. Key indices like Nifty 50 and BSE Sensex showed gains, driven by resilient domestic factors, despite pressures on the rupee and ongoing foreign institutional sell-offs.

The domestic stock markets commenced the week with a flat opening amid a continued tug of war between market bulls and bears. Despite global uncertainties, expectations are high that key indices could soon reach new record highs. The Nifty 50 index opened at 26,122.80, gaining 54.65 points or 0.21%, while the BSE Sensex started at 85,320.04, up 88.12 points or 0.10%.

Market movements remained steady, nudging both indices close to their all-time peaks—Nifty's 26,277.37 and Sensex's 85,978.25 recorded in September 2024. Experts suggest that Indian equities maintain their strength owing to domestic resilience despite global pressures. Investors are eyeing U.S. economic data like tariffs, which could influence the American economy and policy forecasts.

Ajay Bagga, a banking and market expert, highlighted that the Indian markets need to pay close attention to the Rupee, which weakened during Friday's fall, crossing significant thresholds against the US dollar. Poor trade flows and limited RBI intervention have influenced currency sentiment. On the broader NSE market, volatility reduced with most indices opening in the green. Nifty IT led early gains, surging 1.34%.

(With inputs from agencies.)