Why Did Sensex and Nifty Open Flat on Thursday?
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Synopsis
As the Indian equity market opens flat on Thursday, investors eagerly await new triggers to break the ongoing consolidation. With sectoral shifts and institutional investor activities, the market remains cautiously optimistic. Will new trade developments change the game?
Key Takeaways
- Indian equity indices opened flat.
- Midcap and smallcap stocks showed buying interest.
- Sector performance varied significantly.
- FIIs reduced exposure while DIIs remained active buyers.
- Market awaits new trade developments for a potential rally.
Mumbai, July 17 (NationPress) The Indian equity indices began the day on a flat note this Thursday, as market players sought new catalysts to escape the ongoing consolidation phase.
As of 9:20 AM, the Sensex recorded a decline of 15 points at 82,619, while the Nifty dropped 2 points to 25,210. Notably, there was active buying in midcap and smallcap stocks, with the Nifty midcap 100 index gaining 123 points or 0.18 percent at 59,741, and the Nifty smallcap 100 index rising by 70 points or 0.37 percent to 19,210.
Sector-wise, stocks in auto, pharma, FMCG, metal, realty, energy, infrastructure, and PSE sectors led the gains, whereas IT, PSU banks, financial services, and media sectors faced losses.
Within the Sensex constituents, top gainers included Sun Pharma, M&M, Trent, Kotak Mahindra, Tata Motors, NTPC, BEL, Titan, and Power Grid. On the losing side were Tech Mahindra, ICICI Bank, Eternal, Axis Bank, Infosys, and HUL.
Market analysts suggest that the anticipated India-US interim trade agreement has already been priced in, limiting the potential for a significant breakout from the current range.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments, noted, “A surprising positive factor that could catalyze a rally is a tariff rate significantly lower than 20 percent, perhaps around 15 percent, which the market hasn’t factored in yet. Keep an eye on trade and tariff developments.”
Asian markets mostly traded within a flat to low range. Tokyo, Shanghai, Bangkok, and Jakarta showed gains, while Hong Kong and Seoul experienced declines.
The US markets ended on a positive note on Wednesday, buoyed by favorable market sentiment.
Institutional data revealed that foreign institutional investors (FIIs) continued to pull back from Indian equities, selling shares worth Rs 1,858 crore on July 16. Conversely, domestic institutional investors (DIIs) maintained their buying spree for the eighth consecutive session, injecting Rs 1,223 crore, which provided essential support amidst global uncertainties.
Analysts maintain that the overall outlook remains optimistic, provided key support levels are upheld.
Point of View
It is crucial to convey that the Indian equity market remains vigilant amidst global uncertainties. While institutional activity shows mixed signals, the market awaits further developments that could dictate its future direction. Our commitment is to keep you informed and empowered as these dynamics unfold.
NationPress
17/07/2025
Frequently Asked Questions
What caused the flat opening of Sensex and Nifty?
The flat opening was attributed to a lack of compelling triggers as the market seeks new catalysts to escape the current consolidation range.
Which sectors showed gains today?
Gainers included the auto, pharma, FMCG, metal, realty, energy, infrastructure, and PSE sectors.
What are the main stocks to watch?
Key gainers in the Sensex pack included Sun Pharma, M&M, and Tata Motors, while Tech Mahindra and ICICI Bank were among the main losers.
How did foreign institutional investors (FIIs) perform?
FIIs sold equities worth Rs 1,858 crore on July 16, indicating a reduction in exposure to Indian markets.
What is the outlook for the Indian market?
Analysts maintain an optimistic outlook as long as key support levels are respected.
