The Indian markets began Thursday’s trading session with a slight decrease influenced by weak global signals. The Nifty 50 index showed a decline of 85 points, or 0.37 per cent, settling at 24,526, while the BSE Sensex also dropped by 304 points to 80,406 in early trading.
Across the broader market on the National Stock Exchange, major indices like Nifty Next 50, Nifty 100, Nifty Midcap, and Nifty Small Cap faced selling pressure and declined. Among the sectoral indices, except for Nifty FMCG, Nifty IT, and Nifty Realty, all others recorded declines, notably with Nifty Media seeing a drop of over 2 per cent due to significant selling pressure.
Leading gainers in the Nifty 50 included LTIMindtree, Axis Bank, Apollo Hospital, and Infosys, whereas Bajaj Auto and Asian Paints were among the top losers, each experiencing declines of more than 2 per cent, the latter following its financial results. Hero MotoCorp, Eicher Motors, and Tata Steel also featured prominently among the top losers.
Ajay Bagga, a Banking and Market Expert, noted, “Asian markets are down in line with the US, driven by a stronger Yen and reduced exports, which have led the Nikkei to decline nearly 2 per cent. Indian markets are likely to be subdued given weak global cues. Additionally, with the Union Budget scheduled for July 23rd, traders are expected to book profits as they lighten their positions ahead of this significant market event next week. Safe haven demand has driven rallies in Gold and Silver, while lower US inventories are boosting crude oil prices.”
In Asia, markets declined amidst challenges in tech and chip sectors due to geopolitical tensions and US export constraints, with Japan’s Nikkei 225 falling by over 2 per cent and the Kospi by 0.98 per cent. Notably, in India, Foreign Institutional Investors (FIIs) purchased shares worth Rs 1,271.45 crore, contrasting with Domestic Institutional Investors’ (DIIs) net sales of Rs 529.48 crore on July 16.
Crude oil prices saw slight increases, with WTI at USD 83.30 and Brent at USD 85.35. The US Dollar Index (DXY) rose by 0.05 per cent to 103.73. Meanwhile, US markets witnessed significant declines, with the S&P 500 down 1.39 per cent and the Nasdaq Composite plummeting 2.77 per cent.
