The Indian stock market opened to selling pressure on Wednesday, with both major indices experiencing a slight dip. The Nifty 50 index began the day at 25,008.55 points, down by 48.80 points or 0.19%, while the BSE Sensex opened at 81,646 points, losing 173 points or 0.21%.
Market experts noted that continued selling by Foreign Institutional Investors (FIIs) is being countered by buying from domestic investors, which may help consolidate the Nifty index around the 25,000 mark. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, stated, “In India, sustained domestic flows into the market have been absorbing FII selling. While these flows will continue to provide support, elevated valuations may limit significant upward movement. The Nifty is likely to hover around 25,000 levels, with Q2 earnings expected to be weak, particularly outside of IT, banking, and certain auto sectors.”
On the National Stock Exchange, most sectoral indices opened in the negative, with the exception of Nifty Pharma, Nifty Realty, and Nifty Consumer Durables. Among Nifty 50 stocks, 17 saw gains, while 31 declined, and 2 remained unchanged.
Shriram Subramanian, Founder and MD of InGovern Research Services, commented, “The markets are likely to remain sluggish with a downward bias as global investors redirect funds to China. The overhang of the Hyundai IPO will also continue for a few days, and the upcoming results from Reliance Industries could add further pressure on the leading indices.”
In other Asian markets, responses were mixed, with Japan’s Nikkei dropping over 2%, while Hong Kong’s Hang Seng gained marginally by 0.4%. South Korea’s KOSPI index was down by 0.5%, and Taiwan’s Weighted index fell by 0.6% at the time of this report.
