Indian stock markets are anticipated to open lower today, drawing cues from US markets after the US Fed’s decision of a 25 basis point rate rise despite the lingering banking crisis. The Dow Jones, S&P 500, and Nasdaq all fell 1.6% overnight. The group recognized that the financial crisis might stymie an already shaky economy.
The SGX Nifty is also indicating a bearish start for the Nifty today. The SGX Nifty was down 45 points at 7:00 a.m.
The Indian benchmark indexes Sensex and Nifty closed higher on Wednesday, with buying demand in Bajaj Tilak and Pharma companies driving the gains. The Sensex closed 139 points higher at 58,214, while the Nifty gained 44 points to 17,151.90. Analysts believe that the Nifty’s closing over 17,200 remains a critical threshold, after which the markets might continue the surge even higher. “Nifty50 from the last couple of trading sessions is trading in a higher high higher bottom formation and prices are sustaining above its 9-day exponential moving average on the daily time frame,” said Rohan Patil of SAMCO Securities.
On the downside, key levels to watch for Nifty today are 16,900 and 16,800, while on the upside, resistance for Nifty today is mostly around 17,250. Today, Nifty Bank will find support around 39,500, with a break over 40,000 triggering a further surge in the index.
After ten straight sessions of selling, foreign institutional investors reversed their position and became net purchasers of Indian shares. According to preliminary data from exchanges, FIIs purchased shares worth Rs. 61 crore in the cash market on Wednesday. Domestic institutional investors, on the other hand, continued to be net purchasers of Indian stocks, purchasing shares worth Rs 383 crore, according to preliminary statistics.
Today’s stocks to watch include HAL, Reliance Industries, Hero Motocorp, and Nazara Technologies, among others.