The Impressive TimesNew Delhi : The Indian stock markets opened on a positive note on Thursday, with the Nifty 50 and Sensex making early gains before trading flat. The Nifty surged as much as 0.3% to move past 22,600, while the Sensex added 0.3% to cross the 74,800 mark. However, the initial optimism faded as investors exercised caution ahead of the monthly and weekly futures & options (F&O) contract expiry.
Among major sectoral movements, non-banking financial companies (NBFCs) led the gains, with stocks like Bajaj Finance and Shriram Finance seeing significant buying interest. The NBFC sector has been performing well in recent sessions, supported by strong loan growth and improving asset quality. Meanwhile, UltraTech Cement was among the biggest losers, tumbling 5% after the company reported lower-than-expected earnings, leading to concerns about demand and pricing pressure in the cement industry.
The broader market indices showed a mixed trend, with the Nifty Midcap 100 trading slightly positive, while the Nifty Smallcap 100 saw minor losses. Investors remain watchful of global cues as Asian markets exhibited mixed performance, tracking movements in U.S. markets overnight. The Federal Reserve’s latest stance on interest rates continues to influence investor sentiment, as expectations of rate cuts in the U.S. remain uncertain.
On the domestic front, analysts suggest that market volatility may persist throughout the session due to F&O expiry, with traders adjusting their positions. Additionally, foreign institutional investors (FIIs) and domestic institutional investors (DIIs) remain active in the market, with FIIs registering net outflows in recent sessions, while DIIs continue to provide support.
Sector-wise, banking and IT stocks showed resilience, with heavyweights like HDFC Bank, TCS, and Infosys trading in the green. Auto stocks also saw some buying interest, supported by strong monthly sales data from key players like Maruti Suzuki and Tata Motors. However, FMCG and metals stocks witnessed profit-booking, dragging the broader indices lower.
Going forward, market participants will closely track macroeconomic indicators, corporate earnings, and global developments, including crude oil prices and geopolitical tensions. Analysts believe that Nifty’s immediate support level stands at 22,500, while resistance is seen around 22,700. For the Sensex, key levels to watch are 74,500 on the downside and 75,000 on the upside.
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