Mumbai– Indian equity markets opened flat on Friday, reflecting a cautious tone amid weak cues from Asian markets and early selling pressure in the IT and auto sectors. However, stable institutional investments from both foreign and domestic players are helping maintain overall market resilience.
At 9:29 a.m., the BSE Sensex was marginally up by 11.77 points at 81,644.79, while the NSE Nifty rose 13.20 points to trade at 24,846.80. Despite the lack of strong upward momentum, analysts say consistent fund flows are providing support in an otherwise consolidating market.
The Nifty Bank index was up 81.20 points or 0.15% at 55,627.25. The Nifty Midcap 100 climbed 250.40 points or 0.44% to 57,707.65, while the Nifty Smallcap 100 rose 37.75 points or 0.21% to 17,927.15.
Analysts noted that Thursday’s late-session rebound in the Nifty was a positive sign, despite much of the session being spent in negative territory. “While Nifty remains stuck in a sideways range between 24,462 and 25,116, the long lower shadow and small real body on yesterday’s candlestick chart—close to the day’s high—suggest bullish intent,” said Akshay Chinchalkar, Head of Research at Axis Securities. He identified immediate support and resistance at 24,677 and 25,000, respectively.
Within the Sensex basket, tech and financial stocks led the decline. Infosys, Tech Mahindra, HCL Tech, Bajaj Finance, IndusInd Bank, Bharti Airtel, Titan, and Hindustan Unilever were among the top laggards. On the other hand, Adani Ports, Eicher Motors, Maruti Suzuki, and Sun Pharma posted gains.
Asian markets were broadly negative, with indices in Hong Kong, Bangkok, Seoul, China, and Japan trading in the red, reflecting global uncertainty.
On Wall Street, the Dow Jones Industrial Average rose 117.03 points to close at 42,215.73. The S&P 500 gained 23.62 points to finish at 5,912.17, while the Nasdaq added 74.93 points, ending at 19,175.87.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, pointed out the disconnect between India’s strong macroeconomic fundamentals and muted corporate earnings. “India’s macro indicators are solid and improving, but that strength hasn’t yet translated into earnings performance. This explains the market’s current range-bound behavior,” he noted.
On May 29, foreign institutional investors (FIIs) were net buyers, purchasing ₹884.03 crore worth of equities. Domestic institutional investors (DIIs) were also strong participants, buying equities worth ₹4,286.50 crore.
Looking ahead, analysts believe that resilient GDP growth, easing inflation and interest rates, and improving fiscal and current account balances are laying the groundwork for a medium-term economic and earnings recovery. For now, markets are expected to remain in consolidation mode, awaiting a clear directional trigger. (Source: IANS)
