Stock Market Update: Sensex and Nifty Open in Green Territory
Today, the BSE Sensex and Nifty50, the key benchmark indices of the Indian stock market, started the day on a positive note. The BSE Sensex was trading above 81,300, while the Nifty50 was above 24,850. As of 9:16 AM, the BSE Sensex was at 81,305.31, up 219 points or 0.27%, and the Nifty50 stood at 24,879.90, up 57 points or 0.23%.
This week, investors are eagerly awaiting the speech by US Federal Reserve Chair Jerome Powell at the Jackson Hole symposium, where he hinted at possible rate cuts in the near future. Analysts believe that a potential rate cut by the Fed could significantly impact market sentiment and drive stock prices higher.
Pravesh Gour, Senior Technical Analyst at Swastika Investmart, stated, “Indian markets are likely to mirror the gains seen in the US stock market, as the chances of a ‘soft landing’ for the global economy increase amidst indications of economic slowdown.”
According to Nagaraj Shetti of HDFC Securities, the Nifty’s underlying trend is choppy with a positive bias. Further upward movement could propel it towards the 25,000-25,100 levels in the near term, with immediate support at 24,650.
Global Market Trends
In global markets, S&P 500 futures remained steady, Hang Seng futures climbed 0.6%, Topix in Japan declined by 0.8%, S&P/ASX 200 in Australia rose by 0.4%, and Euro Stoxx 50 futures surged by 0.4%.
The Japanese yen strengthened against the US dollar, reaching a three-week high, as Powell’s dovish stance contrasted with Bank of Japan chief Kazuo Ueda’s hawkish views. The US currency also lingered near a 13-month low against the euro, with Bank of England head Andrew Bailey hinting at a less aggressive approach to interest rate cuts compared to the Fed.
Oil Price and Stock Updates
Oil prices saw an extension in gains on Monday due to concerns about potential disruptions in regional oil supplies from the Gaza conflict. Additionally, the expectation of imminent US interest rate cuts bolstered the global economic outlook and fuel demand. Brent crude futures rose by 0.5% to $79.39 a barrel, while US crude futures increased by 0.5% to $75.19 a barrel.
Several stocks, including India Cements, Balrampur Chini Mills, GNFC, and others, are currently in the F&O ban period. In terms of investments, foreign portfolio investors were net buyers on Friday, acquiring shares worth Rs 1,944 crore, while domestic institutional investors purchased shares worth Rs 2,896 crore.
