Stock market today: BSE Sensex and Nifty50, the Indian equity benchmark indices, resumed their downtrend on Thursday. While BSE Sensex was below 76,500, Nifty50 was near 23,150. At 9:24 AM, BSE Sensex was trading at 76,448.33, down 85 points or 0.11%. Nifty50 was at 23,159.45, down 4 points or 0.016%.
Indian markets showed recovery on Wednesday, bouncing back from Monday’s decline, with mid and smallcap indices also gaining momentum. Traders will focus on the US Federal Reserve meeting results during early Thursday trading, followed by attention towards January derivatives expiry.
The benchmark indices demonstrated a recovery rally on Tuesday following Monday’s steep decline, whilst the broader Mid and Small cap indices continued their downward trend due to concerns over valuations and earnings performance.
“We maintain our sell on rise stance for the index and emphasize the importance of robust risk management, particularly in broader market segments like midcaps and small caps, while awaiting clearer signals,” said Ajit Mishra – SVP, Research, Religare Broking.
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The bearish pattern of lower peaks and troughs continues. Breaking above 23,350-23,400 could reverse this trend and create upward momentum. Support exists at 23,000, according to Nagaraj Shetti of HDFC Securities.
US markets declined after the Federal Reserve maintained current rates without clear indication of future rate cuts.
Asian equities showed mixed movements on Thursday following the Federal Reserve’s decision to maintain current rates, with Chairman Powell indicating a measured approach towards future rate reductions.
The US dollar positioned for potential gains against the euro on Thursday, anticipating the European Central Bank’s stance on rates, following the Federal Reserve’s decision to maintain its current position on monetary easing.
Foreign portfolio investors registered net sales of Rs 2,586 crore on Wednesday, while domestic institutional investors purchased shares worth Rs 1,793 crore.
FIIs’ net short position decreased from Rs 2.36 lakh crore on Tuesday to Rs 2.24 lakh crore on Wednesday.
