Stock market today: Indian equity benchmark indices, BSE Sensex and Nifty50, opened in green on Tuesday. While BSE Sensex was near 84,600, Nifty50 was above 25,850. At 9:18 AM, BSE Sensex was trading at 84,598.05, up 298 points or 0.35%. Nifty50 was at 25,893.55, up 83 points or 0.32%.
On Monday, Sensex and Nifty, experienced a significant decline of nearly 1.5%. The drop was primarily attributed to heavy selling pressure in the banking, finance, and auto sectors.Additionally, rising geopolitical tensions in the Middle East and weakness in Japanese markets contributed to the negative sentiment.
“In the near term, we expect the market to consolidate after witnessing one side move in the last few weeks. Sector-wise the focus could shift towards IT & Banking space as companies would be releasing their pre-quarterly updates starting this week,” said Ajit Mishra – SVP, Research, Religare Broking
Technical analysis by Nagaraj Shetti of HDFC Securities suggests a short-term top reversal action for the Nifty, indicating potential weakness in the upcoming sessions.
In the global markets, US stocks closed higher on Monday, with the S&P 500 reaching a record high despite a brief setback following comments from Federal Reserve Chair Jerome Powell. Japanese stocks gained as much as 1.1%, recovering from a significant decline the previous day.
Oil prices remained steady as concerns about potential supply disruptions in the Middle East were offset by lackluster global demand growth. The US dollar strengthened against major currencies after Powell pushed back against expectations of more aggressive interest rate cuts.
Four stocks, namely Balarampuri Chini Mills, Bandhan Bank, Hindustan Copper, and RBL Bank, are currently under the F&O ban period.
Foreign portfolio investors (FPIs) were net sellers on Monday, offloading shares worth Rs 9,791 crore, while domestic institutional investors (DIIs) bought shares worth Rs 6,646 crore.
The net long position of FIIs reduced from Rs 3.61 lakh crore on Friday to Rs 3.38 lakh crore on Monday.
