The National Stock Exchange of India (NSE) witnessed early selling pressure stemming from foreign markets, in the form of shorting blue-chip stocks like Infosys and ICICI, and consequently began the trading session on a weaker note. The outflows of funds from Foreign institutions also added to the concerns.
Indices open in green, turn red quickly
The Indian stock markets started off on a much stronger note, with the BSE 30 soothing Index starting off at 81,557.76, a profit of 151 points, but moved lower by roughly 0.19% after 151.36 more selling points moved into the skies. Similarly, the NSE Nifty made a positive start at 24,640.35 before selling pressure brought it down by 37.45 points.
Major gainers and losers
Out of the many stocks that participated in the Sensex, Mahindra & Mahindra, Tata Steel, HCL Technologies, Asian Paints, Lenovo, Infosys, and UCUL broke even and reported losses and were among some of the worst performers alongside construction companies like Kotak Mahindra, Tech Mahindra, and NTPC, who ended the day strong, recording gains.
Weak asian markets add to pressure
Asian markets displayed a mixed performance, with Seoul, Hong Kong, and Shanghai trading in the red, while Tokyo posted modest gains.
“Asian stocks started the week cautiously as investors grappled with South Korea’s political upheaval and awaited fresh stimulus measures from China,” said Deepak Jasani, Head of Retail Research at HDFC Securities.
Key central bank outcomes from Australia, the European Central Bank (ECB), Canada, Switzerland, and Brazil are also expected this week, influencing global market trends.
US markets and oil prices
US markets ended on a mixed note on Friday, further adding to the uncertain market sentiment. Meanwhile, global oil benchmark Brent crude climbed 0.41% to USD 71.41 per barrel.
Foreign institutional investors turn sellers
Foreign Institutional Investors (FIIs), who had been consistent buyers in recent sessions, turned net sellers on Friday, offloading equities worth ₹1,830.31 crore, according to exchange data.
Previous session recap
On Friday, the Sensex closed 56.74 points lower at 81,709.12, while the Nifty declined 30.60 points to settle at 24,677.80. The ongoing selling pressure indicates investors remain cautious amid global headwinds and domestic uncertainties.
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