The Indian stock market opened lower on Tuesday but recovered mildly to trade flat by mid-morning amid mixed global cues and cautious investor sentiment.
At 9:29 AM, the BSE Sensex was nearly unchanged, edging up just 1.69 points to trade at 80,892, while the NSE Nifty rose 16 points or 0.06% to 24,696. The indices had opened in the red, with Nifty briefly dipping to around 24,600 at the bell.
According to Hardik Matalia, equity strategist at Choice Equity Broking, the Nifty may find support at 24,600, followed by 24,500 and 24,300, while facing immediate resistance at 24,800, and further barriers at 24,900 and 25,000.
“A sustained move above the 25,000 mark is critical to easing the current selling pressure,” Matalia noted. “As long as the index remains below that level, the short-term trend remains weak. Traders should follow a sell-on-rise approach,” he added.
In early trade, realty stocks outperformed, with the Nifty Realty index leading sectoral gains. However, IT stocks slipped, with the Nifty IT index declining 0.32%. The Nifty Bank index remained largely flat, down 0.01%.
Among the top gainers in the Nifty pack were JSW Steel, Jio Financial, IndusInd Bank, Reliance Industries, and Shriram Finance. On the other hand, Eternal led the laggards with a 1.64% drop, followed by Infosys, SBI Life Insurance, Wipro, and Bharat Electronics.
Market sentiment was dampened by the lack of progress on a much-anticipated India–US trade deal, with expectations dimming for an agreement before the August 1 deadline.
In global markets, Wall Street presented mixed signals. The Dow Jones Industrial Average declined 0.14%, while the Nasdaq Composite rose 0.33%. The S&P 500 closed nearly flat, up by just 0.02%.
Across Asia, trading sentiment remained cautious. Japan’s Nikkei 225 dropped 0.91%, and Hong Kong’s Hang Seng Index fell 0.93%. However, South Korea’s Kospi gained 0.59%, while Chinese markets remained largely flat during morning hours.
On the institutional front, Foreign Institutional Investors (FIIs) extended their selling streak for the sixth consecutive session, offloading equities worth ₹6,082 crore on Monday. In contrast, Domestic Institutional Investors (DIIs) were net buyers, purchasing shares worth ₹6,764 crore, offering some support to the market.
– IANS