Mumbai (Maharashtra) [India], April 24 (ANI): The Indian stock market opened with a marginal decline on Thursday as geopolitical tensions weighed on investor sentiment. This comes after India took diplomatic measures against Pakistan in response to the recent terror attack in Pahalgam in which 26 people were killed.
The Nifty 50 index began the day at 24,277.90, registering a fall of 51.05 points or 0.21 per cent. Similarly, the BSE Sensex opened lower at 79,982.18, down by 134.31 points or 0.17 per cent.
Market experts noted that while the underlying fundamentals of the Indian economy remain strong and foreign portfolio investment (FPI) inflows continue, the escalating tension with Pakistan may pose a risk to capital inflows in the near term.
Ajay Bagga Banking and Market Expert told ANI “Global cues are positive, FPI inflows are positive, earnings in pockets are positive and the Indian market breadth has turned decidedly positive. The overhang remains for the next 10 days to 15 days, the time it took in the previous two instances from the terrorist strike to the retaliatory Uri and Balakot strikes. Diplomatic measures have been announced and the Indus Water Treaty related measures though significant, will require major infrastructure execution to make an impact on the ground”.
Among the sectoral indices, Nifty PSU Bank, Nifty Media, and Nifty Auto opened in the red. On the other hand, Nifty FMCG, Nifty IT, and Nifty Pharma started the session in the green, indicating selective buying across defensive and technology-driven sectors.
Investors are also eyeing a slew of fourth-quarter earnings scheduled for the day. Major companies including Hindustan Unilever, Axis Bank, Nestle India, SBI Life Insurance Company, Tech Mahindra, Macrotech Developers, Adani Energy Solutions, SBI Cards & Payment Services, Persistent Systems, MphasiS, and LT Technology Services are set to announce their financial performance for the quarter ended March.
Akshay Chinchalkar, Head of Research, Axis Securities said “The nifty rose for the seventh day yesterday, for the first time in a month. The intraday recovery saw the day end with a “hanging man” candle alongside Tuesday’s “doji” which means the rally may stall somewhat as indecision seeps in. 24120 is immediate support while immediate resistance sits at 24500. We are inside an important time cluster now so a volatility pickup may be seen over the next two sessions”.
Meanwhile, the broader Asian markets presented a mixed picture. Japan’s Nikkei 225 index surged over 1 per cent, while Singapore’s Straits Times remained flat but in the green, gaining 0.13 per cent. Taiwan’s Taiwan Weighted declined by 0.62 per cent, South Korea’s KOSPI dropped by 0.45 per cent, and Hong Kong’s Hang Seng index was down by 1.51 per cent. (ANI)