Equity benchmark indices in India began trading on a positive note on Friday, taking cues from the global stock markets and foreign fund inflows. The BSE Sensex, a 30-share index, rose by 205.08 points to reach 61,636.82 in early trade, while the NSE Nifty climbed 56.2 points to 18,186.15.
However, as the trading session progressed, both the Sensex and Nifty turned volatile and started trading marginally lower. The Sensex dropped by 48.29 points to 61,383.45, and the Nifty dipped 28.30 points to 18,101.65.
Among the gainers in the Sensex firms were State Bank of India, Infosys, HCL Technologies, Tech Mahindra, Axis Bank, Wipro, ICICI Bank, Power Grid, Kotak Mahindra Bank, and Mahindra & Mahindra. On the other hand, ITC, NTPC, Titan, Larsen & Toubro, Maruti, and Tata Motors were among the laggards.
While the stock markets initially showed a positive trend, they became volatile later in the session. The Asian markets, including Seoul, Tokyo, and Shanghai, were trading in the green, while Hong Kong witnessed a decline. In the US, the market closed on a positive note on Thursday.
Foreign Institutional Investors (FIIs) continued to buy equities in India, with net purchases of ₹970.18 crore on Thursday, according to exchange data. The global oil benchmark, Brent crude, rose by 0.71% to reach USD 76.40 per barrel.
Analysts predict that intra-day volatility may persist due to the recent downward trend. Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd., highlighted the challenges in breaking the range of 18,100-18,400 for the Nifty, despite favorable global cues and good Q4 results. The rise in the US 10-year bond yield and the weakening of the rupee against the dollar are not supportive of the equity market. Furthermore, while FIIs are buying, their activity is being offset by selling from Domestic Institutional Investors (DIIs).
The Indian stock markets initially showed strength but turned volatile later in the trading session. The focus remains on the range-bound movement of the Nifty, along with global factors such as bond yields and currency fluctuations, which may influence market sentiment.
