Benchmark indices opened lower on Tuesday, with both the BSE Sensex and NSE Nifty trading in the red during early deals. The Sensex was quoted at 78,286.46, down 255.98 points or 0.33 per cent, while the Nifty 50 slipped 71.55 points or 0.29 per cent to 24,510.70. The subdued opening follows a largely flat close in the previous session. While gains in select sectors offered some support, persistent concerns over elevated crude oil prices and geopolitical developments continued to weigh on investor sentiment.
VK Vijayakumar, Chief Investment Strategist, Geojit Investments, noted, “Rising Brent crude price continues to be an irritant for the market even as other fundamentals exhibit strength. A significant pivot in the market is the FIIs turning buyers encouraged by the better-than-expected Q1 results and stability in the rupee. These positives have the potential to keep the market resilient with a slight upward bias. Robust domestic consumption can ensure the sustainability of earnings growth through FY27.”
Devarsh Vakil, Head of Prime Research at HDFC Securities, pointed to developments overseas that were weighing on global risk sentiment. “US stocks pulled back from record highs Monday as renewed uncertainty over the Strait of Hormuz reignited inflation fears ahead of this week’s CPI report. The S&P 500, Dow Jones Industrial Average, and Nasdaq Composite all closed modestly lower, snapping a two-week rally,” Vakil said.
Adani Enterprises Limited shares climbed to Rs 3,015.30, gaining Rs 5.30 or 0.18 per cent, after US District Judge Nicholas Garaufis of the US District Court for the Eastern District of New York dismissed criminal charges against Gautam Adani and Sagar Adani on Monday.
Global Market Update
US markets edged lower, with the Dow Jones Industrial Average slipping 13.79 points, or 0.03 per cent, to 53,961.20. The S&P 500 declined 4.53 points, or 0.06 per cent, to 7,753.11, while the Nasdaq fell 85.26 points, or 0.32 per cent, to 26,605.36.