Synopsis: Indian equity markets opened flat on Wednesday, halting a two-day rally, as global sentiment weakened amid renewed US-China trade tensions. Sensex dipped 165 points while Nifty dropped over 50 points in early trade.
)
After two days of a strong upward momentum, Indian stock markets cooled off on Wednesday morning, reflecting global market uncertainties. The BSE Sensex fell by 165.3 points to 76,569.59, while the NSE Nifty slipped by 51.55 points to trade at 23,277.
The flat start comes as investors across the globe exercise caution over escalating trade tensions between the United States and China. Asian markets followed a bearish trend with major indices like South Korea's Kospi, Japan’s Nikkei 225, Shanghai's SSE Composite, and Hong Kong’s Hang Seng all trading lower.
Among the top losers in the Sensex pack were Maruti, Sun Pharma, NTPC, Tata Steel, Reliance Industries, and Infosys. On the other hand, banking stocks showed some resilience with IndusInd Bank, Axis Bank, SBI, and Kotak Mahindra Bank trading in the green.
Commenting on the market's cautious tone, V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, noted, "The market is indicating calm after the storm, but investors must be wary of further volatility as the US-China trade war is far from over. China's latest move to restrict exports of rare earth materials and suspend Boeing orders could trigger more retaliatory actions."
Despite the shaky global backdrop, Foreign Institutional Investors (FIIs) provided some support to domestic equities, turning net buyers with an inflow of Rs 6,065.78 crore on Tuesday, according to exchange data.
Meanwhile, global crude oil prices also edged lower, with Brent Crude falling by 0.23% to USD 64.52 per barrel, offering some relief to inflation-sensitive sectors.
On Tuesday, markets saw a significant surge as Sensex soared by 1,577.63 points (2.10%) to close at 76,734.89, and the Nifty rose 500 points (2.19%) to settle at 23,328.55 — largely driven by banking and IT stocks.
While the overall market setup still leans positive, experts suggest that investors should tread with caution in the coming sessions amid geopolitical and trade-related uncertainties.
Disclaimer: This article is for informational purposes only and should not be considered financial or investment advice. Please consult a professional financial advisor before making any investment decisions.
.jpg)
