Sensex, Nifty Opened On A Positive Note; Pharma & IT Lead Gains

The Indian stock market opened firmly higher on Thursday, with the benchmark indices reflecting cautious optimism amid mixed global cues.

At 9:29 AM, the BSE Sensex was up by 268.8 points or 0.33 per cent, trading at 81,267.09.

The NSE Nifty also gained 82.75 points, or 0.34 per cent, reaching 24,702.95.

While the main indices advanced, the Nifty Bank index saw a slight dip, falling 29.70 points or 0.05 per cent to 55,647.15.

Meanwhile, broader market indices showed more robust gains, with the Nifty Midcap 100 rising by 263.35 points (0.45 per cent) to 58,188, and the Nifty Smallcap 100 climbing 141.65 points (0.78 per cent) to 18,398.75.

Sectoral Movements & Top Performers

Strong buying interest was noted in the pharmaceutical, automobile, and information technology sectors during early trading.

Among Sensex constituents, Eternal, PowerGrid, Mahindra & Mahindra (M&M), HDFC Bank, HCL Technologies, Tata Consultancy Services (TCS), IndusInd Bank, and Kotak Mahindra Bank led the gains.

Conversely, stocks such as Nestle India, Titan, Bajaj Finance, Tata Motors, and Tech Mahindra faced pressure and closed lower in the opening session.

Analysts attributed the positive start to the previous session’s strong close and a nearly 5 per cent decline in the India VIX, reflecting lower market volatility.

Akshay Chinchalkar, Head of Research at Axis Securities, said, “For Nifty, the 24,462 level remains intact, maintaining optimism. Should this support break, the market may slide towards 23,800. Short-term resistance lies between 24,760 and 24,882. Globally, equity markets continue to benefit from favourable tailwinds.”

However, experts also cautioned about near-term challenges posed by geopolitical developments and economic data.

Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments Ltd, highlighted, “A sharp drop in the US ISM PMI indicates a notable slowdown in the US economy. With the US 10-year bond yield down to 4.36 per cent, it is expected to decline further amid this slowdown.”

According to Vijayakumar, the current global environment may prove favourable for emerging markets like India in the medium term.

“The prudent strategy is to buy on dips. Sectors sensitive to interest rate changes are likely to perform well, especially with the Reserve Bank of India’s Monetary Policy Committee expected to consider rate cuts,” he added.

Global Market Summary

Across Asia, stock markets in Hong Kong, Bangkok, Seoul, China, and Jakarta were trading positively, while Japan’s Nikkei index was an exception, trading in the red.

In the United States, the Dow Jones Industrial Average closed at 42,427.74, down 91.90 points (0.22 per cent).

The S&P 500 gained marginally by 0.44 points (0.01 per cent) to 5,970.81, and the Nasdaq Composite rose by 61.53 points (0.32 per cent) to 19,460.49 in the previous session.

Foreign institutional investors (FIIs) maintained a buying streak by purchasing equities worth ₹1,076.18 crore on June 4, while domestic institutional investors (DIIs) were net buyers to the tune of ₹2,566.82 crore, signalling continued confidence in the Indian market.

This steady start to the trading day reinforces the cautious optimism among investors, balancing global uncertainties with India’s strong domestic fundamentals and improving economic outlook.

Also Read: India Set To Be Among Asia’s Best Markets For Foreign Investment