Indian stock market opens with minor gains, experts expect sideways markets for now
Jul 31, 2024
Mumbai (Maharashtra) [India], July 31 : Amid the mixed cues, the Indian stock market opens with minor gains on Wednesday.
During the opening hour of the trade, the Sensex was up 187.35 points or 0.23 per cent at 81,642.75, and the Nifty opened in the green, up 58.70 points or 0.24 per cent at 24,916.
The stocks of 1816 shares were in green, while 579 shares declined, and 152 shares remained unchanged.
Among the sectoral stocks at NSE, Bank, Auto, Financial Services, FMCG, IT, Media, Metal, Pharma, Healthcare, Consumer Durables, Oil and Gas opened in green territory. On the other hand, PSU Bank, Private Bank and Realty opened in red.
The stocks of Asian Paints, NTPC, JSW Steel, ONGC and Hindalco were the top gainers, while Tata Consumer Products, Power Grid, IndusInd Bank, Tata Motors, and Axis Bank were the top losers in the initial hour of the trade at NSE. On Tuesday, domestic equity indices ended with a positive bias despite profit-taking.
The index is expected to see consolidation or minor dips over the next few sessions before a potential rebound, as per the market experts.
"Nasdaq is near to correction territory, having fallen 9 per cent from its recent all-time highs. This, combined with policy meeting outcomes from the Bank of Japan and the US Fed will keep markets volatile for today. Indian markets have been trying to rise above recent highs, but large outflows by FPIs are causing concerns. Expect sideways markets for now," said Ajay Bagga Banking and Market expert.
On the regulatory front, Sebi has proposed measures to curb speculative trading in index derivatives, including limiting multiple option expiries and increasing contract sizes to enhance market stability.
"The market remains in a sideways to bullish trend with high volatility. Investors should consider using trailing stop-losses, as buy-on-dips strategies might prevail until the Nifty falls below 24,700 decisively. Support is seen around 24,790 and 24,720, while resistance is between 24,920 and 24,980," said Varun Aggarwal MD, Profit Idea.
Asian markets displayed mixed performances ahead of key economic data and central bank decisions. Japan's Nikkei 225 declined 0.84 per cent, while South Korea's Kospi gained 0.48 per cent. The US market closed mixed with the Dow Jones Industrial Average up by 0.5 per cent and the S&P 500 down 0.5 per cent. Notably, tech stocks faced pressure with Microsoft and Nvidia shares falling by 5 per cent and 7.04 per cent, respectively.
