Nifty, Sensex open in green, but experts say market to remain volatile till FIIs returns
Nov 12, 2024
Mumbai (Maharashtra) [India], November 12 : Indian stock markets started on a positive note on Tuesday as both indices gained in the opening session.
The Nifty 50 index gained 84.50 points, or 0.35 per cent, to open at 24,225.80 points, while the BSE Sensex index opened at 79,644.95, surging 148.80 points, or 0.19 per cent.
Experts noted that markets are likely to remain under pressure until foreign flows return to the Indian markets. Policies in Trump 2.0 will be a major driver, as the U.S. markets are benefitting from economic growth exceptionalism and attracting flows.
Ajay Bagga, Banking and market expert told ANI that "Indian markets remain volatile and range bound and we expect that to continue till emerging market flows resume on the back of some geopolitical break through or some other global catalyst. Overall, US markets are benefitting from an economic growth exceptionalism and attracting flows, while most EMs are seeing outflows due to the strong US dollar. China is holding back its fiscal ammunition for next year, to react once the Trump Tariffs are announced".
Among sectoral indices on the National Stock Exchange, except Nifty Pharma, all other sectoral indices opened with gains. Nifty IT emerged as the leader in gains, with a surge of 0.60 per cent during the opening session.
In the quarterly announcements today, Hyundai Motors, Bosch, UNO Minda, General Insurance Corporation of India, and BSE Limited are some of the major companies set to announce financial results for the second quarter of FY25.
"Yesterday's rally in the index was quickly sold into and that resulted in the daily candle tracing a long upper shadow that shows selling pressure persists at higher levels. The Bank Nifty has been an outperformer relative to the nifty lately, and this is likely to continue based on index options positioning and the fact that the banks-to-nifty ratio is poised to break above a falling trend line from the late May highs" said Akshay Chinchalkar, Head of Research, Axis Securities.
In other Asian markets on Tuesday, except Japan's Nikkei 225 index, all other major Asian markets were down at the time of filing this report. Taiwan's Weighted Index, South Korea's KOSPI, and Hong Kong's Hang Seng declined by more than 1 per cent.
