Markets Open Cautious With Modest Gains On Mixed Global Signals

Indian equity benchmarks saw a cautious start on Thursday, moving up slightly in early trade while tracking mixed global trends.

The Sensex gained 89 points, or 0.11 per cent, to reach 81,947, while the Nifty rose 14 points, or 0.06 per cent, to 25,064.

The Nifty Midcap 100 slipped 0.10 per cent, while the Nifty Smallcap 100 edged up 0.22 per cent, leaving the broader indices mixed.

Sectoral performance was uneven. The Nifty IT index dropped 0.61 per cent, FMCG fell 0.42 per cent, while the Realty index advanced 0.79 per cent. Other sectors recorded small moves both ways.

Anand James, Chief Market Strategist at Geojit Investments, stated, “Yesterday’s upswings fizzled off on approach to 25,096 level, the first upside objective lined up for yesterday. As Nifty is closer to the upper Bollinger Band, a consolidation can be expected.”

He further added, “A collapse is less likely, but dips to 25,000–24,977 zones or lower may be expected before another upswing is attempted.”

Top Gainers and Losers

In the Nifty pack, SBI Life Insurance was the top gainer, rising 1.20 per cent. Bajaj Finserv, Trent and Tata Motors also advanced. Hindustan Unilever, Tata Consumer Products, JSW Steel and Asian Paints were among the major losers.

Amruta Shinde of Choice Equity Broking noted, “A strong bullish candlestick on the daily chart signals renewed strength and momentum. The index is trading comfortably above all key moving averages, confirming a firm underlying trend.”

She pegged immediate support at 25,000 and 24,800, with resistance at 25,100 and 25,200.

Globally, US markets closed mixed — the Dow Jones was up 0.04 per cent, but the NASDAQ fell 0.67 per cent and the S&P 500 slipped 0.24 per cent.

In Asia, Shanghai and Shenzhen rose 0.30 per cent and 0.38 per cent, respectively. Japan’s Nikkei dropped 0.58 per cent, Hong Kong’s Hang Seng fell 0.13 per cent, while South Korea’s KOSPI gained 1.11 per cent.

Back home, foreign institutional investors (FIIs) were net sellers for the second straight day on Wednesday, pulling out Rs 1,100 crore.

Domestic institutional investors (DIIs), however, bought equities worth Rs 1,806 crore, cushioning the market.

Analysts cautioned, “Investors have to be vigilant about valuations in this market.”

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