Sensex, Nifty begin week in green on FII inflows and stable global cues
New Delhi, June 29
Indian markets started the week in the green as domestic equity benchmarks registered modest gains in early trade. The BSE SENSEX stood at 77,202.86 points, up by 102.39 points or 0.13 per cent. Simultaneously, the NSE NIFTY 50 stood at 24,095.00 points, gaining 39.00 points or 0.16 per cent.
Market experts attributed this resilience to a combination of domestic stability and institutional inflows. Vinit Bolinjkar, Head of Research at Ventura, noted that the domestic indices benefited from institutional participation in the preceding sessions.
"Indian markets saw modest FII buying in the week ended 25 June, with provisional cash-market net FII inflows of roughly Rs 380 crore on 25th June, while DIIs remained notable buyers supporting the rally," Bolinjkar said.
He further noted the trajectory of the market, pointing towards specific sectors that might drive growth in the coming days.
"Given steady global cues, easing crude and a resilient domestic macro backdrop, expect a cautiously positive near-term outlook: Range-bound upside with sectoral leadership from financials, tech and select cyclicals, but keep an eye on global risk sentiment and earnings cues for directional conviction," Bolinjkar added.
The early momentum comes on the back of mixed international cues. In the US market, Dow Jones Futures traded up by 0.13 per cent at 51,944.92 points, while the S&P 500 and Nasdaq closed their previous sessions down by 0.05 per cent and 0.24 per cent, respectively.
In the Asian zone, the Hang Seng advanced by 2.05 per cent and the Taiwan Weighted climbed 1.29 per cent, even as the Nikkei 225 dropped 0.78 per cent and the KOSPI fell 2.43 per cent.
Meanwhile, the commodities market displays mixed performance across key assets. At the time of filing, Brent Crude stood at USD 72.33, reflecting a positive movement with a gain of USD 0.34 or a 0.47 per cent increase. At the same time, Crude Oil also gained momentum, standing at USD 69.89 after gaining USD 0.66 or 0.95 per cent.
In contrast, Gold has experienced a downward trend, trading at USD 4,067.80, dropping by USD 19.21 or 0.47 per cent.
From a technical standpoint, the market maintains its position within a specified range, according to analysts. Shrikant Chouhan, Head of Equity Research at Kotak Securities, highlighted the critical support and resistance zones that traders need to monitor.
"Technically, the market continues to trade in a defined range. On the downside, support is placed near the 50-day SMA at 23,800/76,200, while persistent selling pressure is visible in the 24,200-24,250/77,800-78,000 zone," Chouhan said.
Conversely, he warned of potential corrections if the indices fail to sustain these levels, stating that a breach below 24,000/77,000 may drag the index towards 23,800/76,200, with further weakness potentially extending to 23,650/75,700.
— ANI
Reader Comments
Sensex at 77,000? When I first started investing it was at 25,000. The growth story is real but patience is key. FII inflows are encouraging but I hope retail investors focus on long-term wealth creation instead of jumping in and out every week.
Interesting to see Indian markets holding up despite mixed Asian cues. The technical analysis mentioning 23,800 support is key. I'll be watching that level closely for my Nifty positions. Financials and tech making sense for the next quarter.
Happy to see some stability after last week's volatility! 🎉 But I wish the article had talked more about which specific stocks are driving this rally. Also, what about the impact of monsoon on FMCG and auto sectors? That's what matters for the common investor!
Dhanya ho bhai! FIIs finally coming back after selling for weeks. But I'm skeptical - Rs 380 crore is peanuts compared to what they pulled out in May. Let's see if this trend continues. Meanwhile, DIIs have been the real heroes supporting the market all along.
The range-bound movement mentioned makes sense. With earnings season approaching, I think the market will consolidate until then. Gold dropping is interesting - maybe that money is flowing into equities now? Always love reading these technical analyses.
N Nikhil C