Mixed global cues as stock market opens in green, positive trends amidst caution
Mumbai (Maharashtra): The stock market kicked off on a positive note this Thursday as the Nifty displayed an optimistic trend during pre-opening, surging by 88.45 points to reach 21,605.8.
This surge hinted at a favourable opening for both the domestic NSE Nifty 50 and BSE Sensex.
However, global markets in the Asia-Pacific region painted a mixed picture, with varying degrees of losses and gains.
The Asia Dow experienced a downturn of 1.72 per cent, Japan’s Nikkei 225 decreased by 2 per cent, Hong Kong’s Hang Seng index dropped by 0.85 per cent, and China’s Shanghai Composite edged slightly higher by 0.17 per cent.
While the global market cues were subdued, the Indian stock market indices, Sensex and Nifty 50, are expected to cautiously navigate the opening, keeping a watchful eye on the global sentiments.
In the previous session on January 3, both benchmarks faced a downtrend for the second consecutive session due to profit-taking in high-valuation stocks. The Sensex closed at 71,356.60, down by 535.88 points, and the Nifty 50 concluded 0.69 per cent lower at 21,517.35.
As the markets opened, the Sensex showed an encouraging start, opening 319.70 points higher at 71,672.51.
Simultaneously, the Nifty commenced the day with positive momentum, opening 99.35 points up at 21,616.50.
Among the Nifty firms, advances outnumbered declines with 29 companies experiencing gains and 21 facing declines.
In terms of individual stock movements, top gainers among the Nifty companies included Bajaj Finance, NTPC, Bajaj Finserv, Tata Consumer Products, and Tata Motors. Conversely, the top losers were BPCL, Bajaj Auto, Dr Reddy, Hero Motocorp, and HCL.
Several positive developments were noted across Indian companies, contributing to the market sentiment.
Ujjivan Small Finance reported a robust 29 per cent YoY increase in total deposits. RVNL secured a significant order worth Rs 123 crore for redeveloping Varkala Sivagiri railway station.
Power Finance Corporation further strengthened its ties, signing an MoU with the Gujarat government for projects totalling Rs 25,000 crore.
In addition to these developments, Reliance Jio, a subsidiary of Reliance, added 31.6 lakh subscribers in October.
ONGC achieved success by winning seven blocks in the latest bid round, and IEX reported a Q3 overall volume increase of 16.9 per cent YoY.
Tech Mahindra made a notable appointment by bringing Infosys veteran Richard Lobo on board as Chief People Officer. Sun Pharma expanded its global presence by acquiring Israel’s Libra Merger.
Varun Aggarwal, founder and managing director, Profit Idea said, “On the neutral side, Bharti Airtel added 3.5 lakh subscribers in October, while Vodafone lost 20.4 lakh subscribers. NHPC signed an MoU with Gujarat Power Corporation for a Rs 4,000 crore investment in the 750 MW Kuppa Pumped Storage Project”.
He added, “However, certain companies faced negative developments: BGR Energy’s credit exposure was classified as Sub-Standard by State Bank of India, Religare encountered issues related to Rashmi Saluja ESOPs, and LIC received GST demands totalling Rs 667.5 crore along with penalties from three states–Tamil Nadu, Uttarakhand, and Gujarat”.
On the neutral side, Bharti Airtel added 3.5 lakh subscribers in October, while Vodafone faced a loss of 20.4 lakh subscribers.
NHPC inked an MoU with Gujarat Power Corporation, marking a Rs 4,000 crore investment in the 750 MW Kuppa Pumped Storage Project.
However, certain companies faced challenges and negative developments. BGR Energy’s credit exposure was classified as Sub-Standard by the State Bank of India.
Religare encountered issues related to Rashmi Saluja ESOPs. LIC faced GST demands totalling Rs 667.5 crore, along with penalties, from three states–Tamil Nadu, Uttarakhand, and Gujarat.
As the day unfolds, market participants are expected to carefully monitor both domestic and global cues to navigate the evolving landscape of the Indian stock market.
