Indian Equity Markets Flat Amid Mixed Global Signals

India’s equity indices showed minimal movement on Wednesday morning, reflecting a lack of clear direction from global markets.

At 9:40 AM, the Sensex dipped by 45 points, or 0.05%, settling at 81,667, while the Nifty fell by 21 points, or 0.10%, to 24,996.

Despite these minor declines, the market trend retains an overall positive outlook.

The Nifty is currently trading below its all-time high of 25,078.

On the National Stock Exchange (NSE), 1,470 stocks are in the green, compared to 620 in the red.

In a contrasting trend, midcap and smallcap stocks are performing better than their large-cap counterparts.

The Nifty Midcap 100 index increased by 108 points, or 0.18%, to 59,316, and the Nifty Smallcap 100 index rose by 93 points to 19,426.

Sector-specific movements show significant gains in the Auto, IT, Pharma, FMCG, Media, Energy, and Infrastructure sectors, while the Financial Services, Metals, and Private Banks sectors lag behind.

Notable gainers in the Sensex pack include Mahindra & Mahindra, Tata Motors, Power Grid, Sun Pharma, Titan, Wipro, Reliance, ITC, UltraTech Cement, Bharti Airtel, and HDFC Bank. Conversely, Tata Steel, Bajaj Finserv, Maruti Suzuki, TCS, HCL Tech, and ICICI Bank are among the top losers.

Asian markets are predominantly in the red, with Tokyo, Shanghai, Seoul, and Hong Kong all reporting losses. Meanwhile, the US market closed with modest gains on Tuesday.

Market experts suggest that the Indian market has entered a consolidation phase characterized by low volatility, which is likely to persist in the near term.

Falling US bond yields have slowed Foreign Institutional Investor (FII) selling and even led to marginal buying.

Market Trends: DIIs May React To FIIs’ Buying Spree; Experts Predict Slight Upward Bias

“Based on historical patterns, Domestic Institutional Investors (DIIs) might sell if FIIs continue their buying spree. This could result in a market range with a slight upward bias, a trend that is considered healthy given the current elevated valuations,” experts noted.

Meanwhile, on 27 August, FIIs were net buyers of equities worth Rs 1,503.76 crore, while domestic investors sold equities totaling Rs 604.08 crore on the same day.

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