Nifty Edges Up, Sensex Dips in Mixed Market Open; Asian Shares Rally

The Nifty 50 index opened at 26,333.70, registering a marginal gain of 5.15 points or 0.02 per cent. In contrast, the BSE Sensex began the day at 85,640.05, slipping by 121.96 points or 0.14 per cent.

The mixed opening reflected selective buying across sectors even as benchmark indices lacked clear direction at the start. The impact of the Venezuela crisis is not seen on Indian markets in the opening session.

Ajay Bagga, Banking and Market Expert, told ANI that Indian markets surged on Friday to all-time record levels, supported by foreign portfolio investors turning net buyers.

He said, "Indian markets surged on Friday to all-time records with FPIs turning net buyers. The outlook is positive this morning with Asian shares up and Indian Gift Nifty futures indicating a gap-up opening. This would build on Friday's momentum. The markets are showing the classic reaction, where geopolitical developments are factored in quickly and markets move back to underlying fundamentals after quickly discounting these".

In the broader market, indices on the National Stock Exchange showed strength. The Nifty 100 edged up by 0.01 per cent, while the Nifty Midcap 100 gained 0.18 per cent. The Nifty Smallcap 100 outperformed, rising by 0.55 per cent in early trade, indicating buying interest beyond frontline stocks.

Sector-wise, performance remained mixed. Nifty Auto was up by 0.09 per cent, while Nifty FMCG gained 0.04 per cent. Nifty Media surged by more than 1 per cent, and Nifty Metal rose by 0.29 per cent. Banking stocks also saw buying interest, with the Nifty PSU Bank index climbing 1.39 per cent.

However, IT stocks faced pressure, with the Nifty IT index declining by 0.83 per cent in the opening session.

Meanwhile, oil prices remained volatile, moving lower initially, then rising, and later trading flat to negative. Market participants are closely tracking key US economic data scheduled this week, including December payrolls data, manufacturing and services growth figures, and job openings data.

Sunil Gurjar, SEBI-registered analyst and Founder of Alphamojo Financial Services, said, "The Nifty 50 performed well after six weeks of remaining flat and unchanged. Last week, it gained up to 286 points, with the price currently hovering near its All-Time High (ATH). This demonstrates market strength, as the back-to-back bullish rally without any selling candles shows strong buying interest in the sector. Combined with stable market conditions, this has led the market to reach high technical levels. Trading above all key moving averages further signals more upward momentum".

Globally, markets appeared to shrug off geopolitical concerns, including developments related to Venezuela.

US stock futures were higher, Asian markets were trading firmly, and gold and silver prices were rising. Japan, South Korea, and Taiwan were all up more than 2 per cent.

In Asian trade, Japan's Nikkei 225 surged over 2.5 per cent, Singapore's Straits Times gained 0.61 per cent, Taiwan's weighted index rallied more than 3 per cent, and South Korea's KOSPI rose 2.57 per cent, while Hong Kong's Hang Seng lagged.

- ANI