Stock Market Today: The two key equity benchmarks, Sensex and Nifty, on Friday are trading lower amid weak global cues ahead of the RBI MPC outcome. At 9.40 am, the BSE Sensex declined 188 points to 74,039. On the other hand, the NSE Nifty50 was trading at 22460, down 55 points.
Stock update
On the 30-share Sensex platform, JSW Steel, Tata Steel, L&T, IndusInd Bank, TechM, Axis Bank emerged early losers. On the flip side, HDFC Bank, Nestle, M&M, Kotak Bank, Bajaj Finserv, Sun Pharma were among the gainers.
Sector update
Sectorwise, the pharmaceutical and real estate industries have shown a modest increase of 0.3-0.5 per cent, while the telecom, media, capital goods, metal, and oil & gas sectors have all experienced a decline of 1 per cent each.
In the previous session on Thursday, the S&P BSE Sensex closed at 74,228, up 351 points, while the NSE Nifty50 closed at 22,515, up 80 points.
V K Vijayakumar, chief investment strategist, Geojit Financial Services, said the Middle East skirmishes have pushed up Brent crude to $91 and if oil continues to rise that can pose macro headwinds for India. "It is possible that the exuberant Indian investors Domestic Institutional Investors (DIIs) flush with money may ignore the headwinds buy the dips imparting resilience to the market," he said, adding, "amidst market weakness, banking stocks provide opportunities to buy."
Global markets
Asian markets saw a downturn in trading, with Japan's Nikkei 225 dropping by 2.42 per cent and Hong Kong's Hang Seng declining by 0.69 percent. The South Korean index Kospi also experienced a decrease of 0.89 per cent. In Europe, Thursday's trading session ended with a mixed outcome. Germany's DAX and London's FTSE 100 recorded gains, while France's CAC40 saw a loss. The US markets closed mostly lower on the same day.
According to exchange data, Foreign Institutional Investors (FIIs) sold equities worth Rs 1,136.47 crore on Thursday.
The global oil benchmark, Brent crude, rose by 0.35 percent to $90.97 per barrel.
Rupee Slips 6 Paise
Meanwhile, in early Friday trade, the Indian rupee depreciated by 6 paise to 83.45 against the US dollar. Market participants remained cautious ahead of the Reserve Bank of India's rate-setting panel's decision. Forex traders noted that the rupee was affected by the strength of the US dollar and high crude oil prices. Additionally, a negative trend in domestic equities and continuous foreign fund outflows contributed to dampened investor sentiments.
Interbank foreign exchange data revealed that the rupee opened at 83.44 against the dollar and reached a low of 83.45 during initial trading, marking a decline of 6 paise from its previous close. On Thursday, the rupee had strengthened by 14 paise to close at 83.39 against the US dollar.