Despite the ongoing tension between India and Pakistan, the stock market opened with a positive trend today
Mumbai: Despite continued tensions between India and Pakistan that continue to alarm investors, Indian stock markets began the day on a high note. The Sensex gained 406.96 points, or 0.51 percent, to trade at 79,619.49 at the time this story was filed, while the Nifty 50 index was up 95 points, or 0.41 percent, at 24,134.
For market players, the situation at the India-Pakistan border continues to be their top worry. Nonetheless, Indian stocks are being supported by inflows of foreign portfolio investors (FPIs). High net worth individuals’ (HNIs’) selling last week kept the markets somewhat tense, but as the new week begins, the mood seems to be improving generally.
“FPI flows are continuing to support Indian markets along with continued DII flows,” Ajay Bagga, a Banking and Market Expert, told the media report. Markets are profiting from these flows, as there aren’t any significant OFS or IPOs consuming liquidity. But last week, India’s top and wider indexes also saw declines. This was the case even though both the FPI and DIIs reported positive figures. This evidence suggests that the increased geopolitical tensions on the Indian subcontinent are the reason for outflows from prop desks and HNI groups.
Regarding earnings, many significant businesses are expected to release their fourth-quarter and full-year financial results today. Adani Green Energy Limited, TVS Motor Company, IDBI Bank, Adani Total Gas, Oberoi Realty, Hexaware Technologies, Nippon Life India Asset Management, UltraTech Cement, Indian Railway Finance Corporation, and UCO Bank are a few of them. Investors will be eagerly monitoring the findings to determine the future direction of the market.
The United States, where President Trump will mark 100 days in office on April 30, is the focus of interest worldwide. Since his January 20 inauguration, U.S. equities have dropped more than 9%.
Even while tariff risks are already taken into account, any trade agreement with China may still take some time to fruition, which would increase market anxiety worldwide.
This week’s important U.S. data releases include the PCE inflation index, first-quarter GDP, and April employment growth figures, all of which are anticipated to have a significant impact on the market.
Following the Pahalgam terror assault, rising India-Pakistan tensions caused investors to become cautious, which caused the Nifty to drop below 24,200. The Nifty is now trading close to support; a break below 23800 would suggest that the downward trend would continue. However, with the Nifty currently trading above 24,000, we may witness further upward movement. Technically, an upswing in the industry is indicated by the price trading above all significant moving averages, according to Sunil Gurjar, founder of Alphamojo Financial Services and a research analyst registered with SEBI.
Taiwan’s Weighted Index increased by 0.62 percent, South Korea’s KOSPI remained unchanged but in the green, and Japan’s Nikkei 225 gained 0.44 percent in other Asian markets today. At the time this article was filed, Hong Kong’s Hang Seng index did, however, decline by 0.13%.