Indian stock markets opened marginally higher on Tuesday, December 24, ahead of the Christmas holiday. However, pressure from a strengthening US dollar and high bond yields has continued to weigh on the markets, reducing the likelihood of a year-end rally.
The Nifty 50 index opened at 23,769.10, gaining 15.65 points, or 0.07%, while the BSE Sensex started at 78,707.37, up 167.20 points, or 0.21%.
The persistent strength of the US dollar and elevated bond yields are driving foreign institutional investors (FIIs) to sell during market rallies. This external factor, combined with internal concerns about growth and earnings slowdowns, is expected to limit market recovery in the near term.
Sectoral Performance and Stock Movers
Among sectoral indices, Nifty Auto, Nifty FMCG, Nifty IT, Nifty Media, and Nifty PSU Bank showed gains, while other sectors faced pressure.
Top Gainers and Losers:
Out of the Nifty 50 stocks, 31 opened higher while 19 declined.
- Top gainers: Britannia, TCS, Tata Motors, Nestle India, and Hero Motors.
- Top losers: JSW Steel, IndusInd Bank, and Shriram Finance.
Mixed Trend in Asian Markets
Elsewhere in Asia, markets showed a mixed trend:
- Declines: Japan’s Nikkei 225 and South Korea’s KOSPI were down.
- Gains: Taiwan’s Weighted, Hong Kong’s Hang Seng, and Indonesia’s Jakarta Composite posted marginal gains.
Investor Advice
With year-end uncertainty looming, experts recommend that investors focus on preserving capital and staying cautious, as external and internal pressures continue to challenge market stability.
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