Indian equity benchmarks opened higher on Thursday, defying weak global cues as gains in information technology (IT) and fast-moving consumer goods (FMCG) stocks supported the domestic market.
The BSE Sensex opened at 72,965.80, gaining 183.91 points or 0.25 per cent. The NSE Nifty started the session at 22,671.30, up 48.60 points or 0.21 per cent.
Sectoral performance remained mixed in early trade. Nifty IT, Nifty FMCG, Nifty Auto and Nifty Private Bank led the gains, rising by up to nearly 2 per cent.
In contrast, Nifty Metal fell 1 per cent, making it the biggest sectoral laggard. Public sector banks, consumer durables, pharmaceuticals and healthcare stocks also traded lower.
Market experts attributed global weakness to hotter-than-expected US inflation, which rose to 3.7 per cent in September from 3.4 per cent in August.
The increase fuelled concerns that the US Federal Reserve could raise interest rates again in October, triggering heavy selling in American equities. The technology-heavy Nasdaq fell 1.88 per cent.
The weakness also spread to Asian markets, with Japan’s Nikkei declining more than 4 per cent and South Korea’s Kospi falling over 7 per cent.
Experts said the correction in artificial intelligence-related stocks could benefit Indian markets by potentially encouraging foreign institutional investors (FIIs) to redirect funds towards domestic equities.
Analysts said the Nifty showed bearish signals, though its RSI of 41.66 indicated some recovery.
On Wednesday, FIIs sold ₹1,857 crore in equities, while DIIs bought ₹2,670 crore.
Meanwhile, crude oil prices fell nearly 2 per cent as investors weighed supply risks around the Strait of Hormuz against US efforts to reduce shipping costs. Global market weakness continued to influence investor sentiment.
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