In a day marked by mixed global cues and market volatility, the Indian stock market showcased resilience, with the Sensex rising 150 points and Nifty maintaining levels above 22,200. However, amidst the positive trend, Zee Entertainment witnessed a significant 10% drop following clarifications about its involvement in a potential merger deal with Sony.
At 10:05 am, the S&P BSE Sensex surged by 161 points to reach 73,219, while the NSE Nifty50 traded at 22,244, marking a gain of 47 points. Notable gainers on the Sensex platform included Tata Steel, JSW Steel, M&M, IndusInd Bank, ICICI Bank, and UltraCemco. On the flip side, Infosys, PowerGrid, HCLTech, NTPC, Bajaj Finance, and L&T registered losses.
Market Dynamics and Sectoral Movements: In the broader market, the BSE Midcap index rose by 0.30%, and the BSE SmallCap index gained 0.48%. The Nifty Metal index saw a significant jump of 1%, while the Nifty PSU Bank index recorded a gain of 0.8%. However, the Nifty Media index experienced a decline of 2%.
Global and Economic Influences: The global market scenario played a role in shaping the day’s trading activities. Asian markets displayed mixed trends, with Hang Seng and SSE Composite Index recording gains, while Japan’s Nikkei 225 remained almost flat. European markets closed on a mixed note on the previous trading day.
The Head of Retail Research at HDFC Securities, Deepak Jasani, highlighted the influence of US stocks and the upcoming release of minutes from the Federal Reserve’s January 30-31 meeting on market sentiment. Investors await earnings results from Nvidia and seek clues from Federal Reserve officials regarding interest rates.
Foreign Institutional Investors and Rupee Movement: Foreign Institutional Investors (FIIs) were net sellers on Tuesday, offloading securities worth Rs 1,335.51 crore. Meanwhile, the Indian rupee sustained its upward momentum, gaining 6 paise against the US dollar, reaching 82.91 in early trade on Wednesday. However, analysts noted that selling pressure from foreign equity investors, coupled with elevated crude oil prices, tempered a sharper gain in the domestic currency.
