Market Overview
Indian stock markets are off to a strong start this Thursday, riding on robust foreign inflows, positive global cues, and easing geopolitical tensions. Both Sensex and Nifty are expected to continue their bullish momentum, with the Gift Nifty futures indicating a 0.3% higher opening at 24,415.5 compared to Wednesday’s close of 24,328.95.
In the last seven sessions, the Sensex has surged over 8%, pushing investor wealth up by a massive ₹36.65 lakh crore, marking a remarkable rebound in market sentiment.
What’s Driving the Rally?
1. Strong Foreign Portfolio Inflows
- FPIs purchased shares worth ₹3,333 crore on Wednesday.
- This was the sixth consecutive day of net buying, supported by:
- A weaker US dollar
- India’s strong growth outlook
2. Global Market Cues
- US markets closed higher, boosted by:
- US Treasury’s statement calling current US-China tariffs “unsustainable”
- President Trump confirming no plans to replace the Fed Chair
- Asian markets opened mixed, with the MSCI Asia ex-Japan index down by 0.3%, signaling some investor caution.
3. Supportive Domestic Developments
- The Reserve Bank of India has provided a growth-friendly signal:
- Minutes from its latest meeting show interest rates cut by 25 basis points
- Inflation is expected to stay close to target, leaving room for further policy support
Company Watch: FMCG Giants in Focus
Investors will be closely watching earnings announcements from major players like:
- Hindustan Unilever
- Nestlé India
These Q4 results could significantly impact sentiment in the FMCG sector, which has remained resilient amid broader market volatility.
Volatility Ahead?
While the overall sentiment remains bullish, traders are cautious as:
- Today marks the monthly derivatives expiry, often a trigger for market volatility.
- Technical indicators suggest key support for Nifty at 24,150, 24,020, and 23,930; resistance may lie around 24,500 to 24,670.
Summary
- Sensex has gained over 8% in seven sessions
- FPIs bought ₹3,333 crore in equities on Wednesday
- Markets buoyed by global optimism and RBI’s dovish stance
- Major FMCG earnings to drive sectoral moves
- Volatility may rise due to F&O expiry
With Sensex and Nifty on an upward trajectory, all eyes will be on corporate earnings and global developments. As investor optimism builds, markets may test new highs in the coming sessions.
Stay updated with all the insights.
Navigate news, 1 email day.
Subscribe to Qrius
