Indian Stock Market Begins on a Positive Note as the Nation Honors Dr. Singh
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Mumbai, Dec 27 (NationPress) The Indian stock market commenced on a positive note on Friday, buoyed by mixed global signals, as increased buying was noted in the auto, PSU bank, financial service, pharma, FMCG, and metal sectors on the Nifty index.
At approximately 9:30 am, the Sensex was trading at 78,810.40, reflecting an increase of 337.92 points or 0.43 percent, while the Nifty stood at 23,859, having gained 108.80 points or 0.46 percent.
The market sentiment remained favorable. On the National Stock Exchange (NSE), 1,400 stocks were in positive territory, while 503 stocks were experiencing losses.
Experts commented, "As the nation pays tribute to Manmohan Singh, the visionary behind India's liberalization, investors are likely recognizing the significant wealth generated by the Indian stock market since the start of liberalization in 1991."
The Sensex, which was around 1,000 in 1991, has exponentially grown to approximately 78,000, yielding impressive returns for long-term investors.
“The market is expected to continue providing excellent returns to investors in the coming years, as the India Growth Story, initiated by liberalization, remains robust," they added.
The Nifty Bank index rose by 223.25 points or 0.44 percent to 51,393.95. The Nifty Midcap 100 index was at 57,308.60, climbing 182.90 points or 0.32 percent. Meanwhile, the Nifty Smallcap 100 index reached 18,809.45, increasing by 80.80 points or 0.43 percent.
On the sectoral side, a decline was observed in the IT sector.
Within the Sensex constituents, Indusind Bank, Tata Motors, Zomato, NTPC, ICICI Bank, Tech Mahindra, SBI, and M&M were the leading gainers, while HCL Tech, Titan, TCS, L&T, and Sun Pharma faced losses.
In the previous trading session, the Dow Jones climbed by 0.07 percent to close at 43,325.80. The S&P 500 fell by 0.04 percent to 6,037.60, and the Nasdaq dropped by 0.05 percent to finish at 20,020.36.
In the Asian markets, China and Japan were trading positively, while Jakarta, Bangkok, Seoul, and Hong Kong were in negative territory.
Experts noted, "The primary challenge for the market at present is the selling by FIIs triggered by a strong dollar (with the dollar index remaining above 108) and the appealing yields on US bonds, which are yielding 4.35 percent for the 10-year bonds."
"A shift in FII strategy from selling to buying will occur when macroeconomic indicators suggest a recovery in growth and corporate earnings," they added.
On December 26, foreign institutional investors (FIIs) sold equities worth Rs 2,376.67 crore, while domestic institutional investors purchased equities valued at Rs 3,336.16 crore on the same day.
