Global Cues Lift Indian Markets Amid Mixed Sectoral Performance

Indian stock markets opened with modest gains on Thursday, buoyed by positive global market trends and DIIs inflows. Key indices, Nifty and Sensex, reflected the optimistic sentiment. While IT and PSU Bank sectors gained, Realty and FMCG saw declines. FPIs and DIIs continued their robust purchasing, underpinning market resilience.

The Indian stock markets commenced trading on Thursday with a slight uptick, as global market positivity and Wall Street's overnight advancements offered a favorable momentum. The Nifty 50 index registered an opening at 25,560.40 points, marking a gain of 77.90 points or 0.31%, while the BSE Sensex rose by 258.08 points to open at 82,534.15, reflecting a similar percentage increase.

Market analysts attributed the upward trend to robust global cues and ongoing domestic institutional investor (DII) support, bolstering investor sentiment. Ponmudi R, CEO of Enrich Money, commented on the expected steady market commencement, which mirrored technology-driven gains from Wall Street and indicated a positive stance in Asian market early trades. Notably, he emphasized the role of DIIs in maintaining a structural market anchor, particularly in sectors like banking, metals, power, FMCG, and automobiles, despite the lack of significant external or domestic catalysts to heavily sway market dynamics.

In wider market trends on the NSE, mixed performances prevailed. The Nifty 100 index saw a modest increase of 0.06%, and the Nifty Midcap 100 climbed 0.19%. Conversely, the Nifty Smallcap 100 fell by 0.15%. A similar mixed trend was observed across various sectoral indices, with Nifty IT and Nifty PSU Bank leading gains, while Nifty Realty and Nifty FMCG lagged. Market support was further evidenced by significant foreign portfolio investor (FPI) activities, with acquisitions totaling Rs 2,991 crore, alongside substantial DII investments reaching Rs 5,118 crore. Despite these conditions, precious metals opened with price reductions, reflecting broader market volatility and profit-taking activities at elevated levels.

(With inputs from agencies.)