Indian equity benchmarks opened largely flat on Thursday as gains in IT and pharma stocks offset weakness in financial, FMCG and auto shares.
The Nifty opened at 22,599.05, down four points or 0.02 per cent, while the Sensex started at 72,668, gaining 29.30 points or 0.04 per cent.
Sector-wise, Nifty IT, Nifty MidSmall Healthcare and Nifty Pharma emerged among the top gainers, rising up to 0.59 per cent.
Metal, consumer durables and chemical stocks traded marginally higher.
On the other hand, Nifty Financial Services ex-Bank and Nifty FMCG declined up to 0.38 per cent, weighing on the broader market.
Market experts said the Reserve Bank of India’s calibrated tightening stance could pressure equity valuations as higher interest rates make fixed-income investments relatively more attractive. They expect investor preference to shift towards relatively interest-inelastic sectors such as pharmaceuticals.
Experts noted that growth stocks continued to attract investor interest despite elevated valuations, while value stocks remained subdued. They said sustained foreign selling in large-cap stocks, along with the US 10-year Treasury yield remaining above 5.3 per cent, could keep large-cap shares under pressure.
According to market experts, repeated resistance around the 22,574 level could extend the consolidation phase before the market establishes a clear direction. They maintained that the broader 23,100-22,000 range remained relevant, with 22,439 acting as a downside marker.
Foreign investors sold over ₹6,121 crore on Wednesday, while domestic institutions bought around ₹4,596 crore.
Experts said a market reversal would need renewed FII buying, while value stocks may offer long-term opportunities.
Markets remained cautious amid high US Treasury yields and oil prices, with Asian shares tracking a weaker Wall Street session.
Also Read: Stock Market Today: Sensex Ends 429 Points Lower, Nifty Slips 173 After RBI Rate Hike
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