Indian benchmark indices opened on a flat note on Wednesday, reflecting weakness in Asian markets and investor caution ahead of corporate earnings releases and key global trade developments.
At the start of the trading session, the BSE Sensex opened at 82,534.66, down 36.24 points, while the Nifty 50 at the National Stock Exchange (NSE) slipped 0.80 points to open at 25,196.60.
In early trade, market breadth remained moderately positive, with 1,271 stocks advancing, 818 declining, and 171 remaining unchanged.
On the NSE, SBI Life Insurance, Trent, Tech Mahindra, Hero MotoCorp, and Tata Consumer were among the top gainers. Meanwhile, Shriram Finance, Cipla, Hindalco, Reliance Industries, and TCS were notable laggards.
Market analysts flagged concerns around US President Donald Trump’s recent announcement of 200% tariffs on pharmaceuticals, expected to be implemented this month, much sooner than his earlier indication of a 12–18 month timeline. Additionally, the threat of secondary tariffs up to 100% on countries engaging in trade with Russia, particularly those importing crude oil, is creating unease among investors. The deadline for these potential sanctions is September 2.
“India is awaiting clarity on a US tariff deal. Trump’s abrupt announcement regarding pharma tariffs and the looming deadline for secondary sanctions on Russian oil imports are creating uncertainty. Disengaging from a strategic partner like Russia is not a viable option for India, which adds to investor anxiety,” said Ajay Bagga, Market and Banking Expert.
Investors are also closely monitoring corporate margin pressures, global demand outlooks, and forward guidance from companies as earnings season progresses.
Akshay Chinchalkar, Head of Research at Axis Securities, noted: “The Nifty gained 113 points to close at 25,196 yesterday, marking its first rise in five sessions. Technically, a swing low has been confirmed at 25,000. A close above 25,245 today could fuel further optimism. However, for bullish momentum to return convincingly, we need a daily close above 25,340. Support is currently seen between 24,940 and 25,000. While Asian markets remain flat, US index futures are down about 0.2%.”
Indian benchmark indices had snapped a four-day losing streak on Tuesday, driven by gains in the Auto and Banking & Financial Services (BFSI) sectors. Broader markets outperformed, with the Midcap and Smallcap indices rising 0.8% and 1.0%, respectively. Market breadth was robust, with a healthy 2:1 advance-to-decline ratio, according to SBI Securities.
(ANI)