Indian stocks began the week on a positive note, helped by the impressive performance of US markets on Friday. Indian equities received additional support as a result of improving investor mood brought on by a reduction in Middle East tensions and falling oil prices.
Due to investors’ adoption of a risk-averse approach amid negative global cues, Indian stock indices saw a steep dip last week, capping a four-day winning streak.
As of 9:47 am, Sensex stood at 74,026.23 points, marking an increase of 296.07 points or 0.40 percent, while Nifty reached 22,473.65 points, up by 53.70 points or 0.24 percent. Notable movers among the sectoral indices included Nifty bank, Nifty financial services, and Nifty media.
The focus of this week will be on corporate earnings releases and the eagerly anticipated Federal Open Market Committee (FOMC) meeting scheduled from April 30 to May 1. Despite anticipated challenges in May, experts foresee Asian markets carrying forward the bullish sentiment as April concludes.
Market and banking expert Ajay Bagga expressed optimism, stating, “We expect positive markets this week, driven by continued corporate earnings catalysts. In India, we anticipate sideways to slightly positive markets this week. The strong earnings and guidance from US Big Tech bolstered the market last week.”
Volatility has returned to the Indian stock markets following a smooth rally at the beginning of April, primarily attributed to Foreign Portfolio Investor (FII) selling activity.
Foreign portfolio investors (FPIs) have turned net sellers in Indian stocks recently, possibly influenced by the ongoing geopolitical crisis in the Middle East. Data from the National Securities Depository Limited (NSDL) revealed that FPIs, who had been net buyers for the third consecutive month until a few days ago in April, have collectively sold stocks worth Rs 6,304 crore.