Indian Stock Markets Extend Downward Trend

Indian stock markets continued their downward trajectory on Friday, influenced by weak global cues and a cautious approach ahead of the U.S. Federal Reserve's anticipated rate cut.

The Nifty 50 index opened at 24,498.35 points, down by 50.35 points or 0.21%, while the BSE Sensex opened at 81,212.45 points, declining by 77.51 points or 0.10%.

Experts observed that the Indian markets are consolidating due to global uncertainties, particularly regarding the Fed's rate announcements.

However, analysts predict a potential rally in sectors like railways, defense, and others during the pre-budget phase.

Ajay Bagga, Banking and Market Expert, commented, "Weak global cues are impacting the Indian markets today. There is little confidence in China's stimulus measures, which have had limited impact. The Indian markets are in a consolidation phase, which is likely to continue until the Fed's rate decision is out of the way. After that, a pre-Budget rally could boost Railways, Defence, Industrials, IT, and Financials sectors."

In sectoral indices on the NSE, most sectors saw declines, while the Nifty Oil and Gas and Nifty Realty indices posted gains during the opening session. Among the Nifty 50 stocks, 14 advanced, while 36 declined. Eicher Motors, BPCL, Adani Enterprises, Nestle India, and ICICI Bank were the top gainers, while Tata Steel, JSW Steel, and Hindalco were the major losers.

Akshay Chinchalkar, Head of Research at Axis Securities, noted, "The index is now trading near its 50-day and 100-day averages. The 24430 level is expected to provide support, with critical support ranging from 24360 to 24445. Immediate support lies at 24500, which bulls must protect, at least on a closing basis."

In other Asian markets, Japan's Nikkei 225 index fell by 1.24%, Hong Kong's Hang Seng index dropped by 1.46%, Taiwan's Weighted Index rose by 0.18%, and South Korea's market showed mixed trends, reflecting varied sentiment across the region.

[Agency]