The Sensex opened slightly lower at 77,636.94 from its previous close of 77,690.95 but has since climbed, trading at 77,764.53 as of 9.50 AM, gaining 73.58 points or 0.09 per cent. Similarly, the Nifty opened at 23,542.15 against its previous close of 23,559.05 and is currently trading at 23,568.75, up by 9.70 points or 0.04 per cent.
Eicher Motors led the gainers on NSEsurging 7.08 per cent, followed by HCL Tech (1.35 percent), Hindalco (1.02 percent), HDFC Bank (0.76 per cent), and Axis Bank (0.66 percent). Among the top losers were Ultratech Cement (-1.77 percent), Shriram Finance (-1.38 percent), M&M (-1.31 percent), HUL (-1.28 per cent), and Britannia (-1.01 per cent).
“The market structure is weak but oversold; hence we can expect a quick intraday pullback rally from given support levels,” said Shrikant Chouhan, Head Equity Research at Kotak Securities. He added that “the 200-day SMA or 23500/77500 would act as a sacrosanct support zone.”
Foreign Institutional Investors (FIIs) continue to exert pressure on Indian markets, with November witnessing an exodus of over ₹27,600 crore. “FIIs have pulled out a record ₹1.2 lakh crore from Dalal Street since the Nifty’s peak of 26,277 on September 27,” noted Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd.
The US markets ended mixed after October’s Consumer Price Index (CPI) data showed inflation at 2.6 per cent annually, meeting expectations. Core CPI, excluding food and energy prices, came in at 3.3 per cent. This has increased market expectations for a Federal Reserve rate cut, with CME Group’s FedWatch showing an 82 per cent probability of a quarter-point reduction.
In the commodities market, both gold and crude oil faced pressure. “Gold and silver continue to decline amid the relentless rally of the US dollar and cryptocurrencies,” said Rahul Kalantri, VP Commodities at Mehta Equities Ltd. Crude oil traded at $68 per barrel, with the International Energy Agency projecting increased global production.
The US dollar reached a one-year high of 106.55 against major peers, while Bitcoin set a new record at $93,480. The US Treasury Department reported a federal budget deficit of $257 billion in October, significantly higher than analysts’ estimates of $72.7 billion.
“The current market structure is weak but oversold,” noted Vikas Jain, Head of Research at Reliance Securities. He explained that “NIFTY-50 has closed near the 200-day average, and we expect some bounce from the lower range.”
The market awaits several crucial events, including the US Producer Price Index data and Federal Reserve Chairman’s speech. Domestically, investors are watching quarterly results from major companies including HAL, Grasim Industries, Hero MotoCorp, Bharat Forge, Glenmark Pharma, and Bharat Dynamics.
The realty sector faced the strongest headwinds in the previous session, declining over 2.25 per cent. All major sectoral indices have experienced profit booking, with the market entering correction territory after falling 10 per cent from recent highs.