Nifty Slips Below 23800 Rupee Falls 9 Paise To 94 85 Against Dollar
Indian Express
Indian benchmark indices opened marginally lower on Wednesday, tracking weak global cues despite easing crude oil prices amid ongoing US-Iran peace negotiations.
Indian benchmark indices opened marginally lower on Wednesday, tracking weak global cues despite easing crude oil prices amid ongoing US-Iran peace negotiations.
Investor sentiment remained cautious as expectations of a tighter U.S. Federal Reserve policy tempered optimism.
The rupee also slipped 9 paise to 94.85 against the U.S. dollar in early trade. The Nifty 50 was down 0.12% at 23,795.80, while the BSE Sensex edged up 0.04% to 76,229.76 at 9:15 am IST. GIFT Nifty futures stood at 23,861.50, indicating a subdued start after the Nifty closed at 23,824.10 on Tuesday.
Twelve of the 16 major sectoral indices opened in the red, while broader mid-cap and small-cap indices were largely flat. Indian blue-chip stocks had declined about 1.2% in the previous session, weighed down by IT and metal shares after a strong seven-session rally through Monday.
Global markets offered mixed signals. Wall Street ended lower overnight amid a broad selloff in technology and semiconductor stocks, profit-booking after a prolonged rally, and concerns over a potentially hawkish Fed. Asian markets, however, recovered 0.4% after tumbling nearly 3.8% in the previous session.
Brent crude futures fell around 0.5%, hovering near four-month lows as signs emerged that more oil tankers stranded in the Gulf since the start of the Iran conflict could resume movement through the Strait of Hormuz. While lower oil prices are supportive for India, concerns over higher U.S. interest rates continue to weigh on emerging markets by reducing their appeal to foreign investors.
Foreign portfolio investors (FPIs) remained net buyers on Tuesday, purchasing Indian equities worth ₹178.6 million, while domestic institutional investors (DIIs) bought shares worth ₹6.8 billion. Market participants said lower crude prices, measures to stabilise the rupee and efforts to attract foreign inflows have helped moderate overseas selling in recent weeks.
Traders also pointed to a revival in monsoon activity and expectations of improved corporate earnings as factors that could support a return of foreign investors, who have sold a record $29.84 billion worth of Indian equities so far this year.