Mumbai: Domestic equity benchmark indices opened higher on Monday amid positive factors like gains in Asian markets and a decline in crude oil prices.
Nifty began trading session at 22,593.20, up 72.75 points or 0.32 per cent.
Meanwhile, Sensex opened at 72,771.32, up 298.99 points or 0.41 per cent.
In early deals, mostly sectoral indices were trading in positive territory. Nifty Media, Nifty Auto and Nifty Chemicals jumped up to 1 per cent.
Similarly, Nifty Realty, Nifty Oil & Gas, Nifty Cement, Nifty Metal and Nifty IT surged between 0.81 per cent to 0.64 per cent. However, other sectoral indices were also trading marginally higher.
On the downside, Nifty PSU Bank just slipped 0.01 per cent.
Market experts said external headwinds are dominating domestic tailwinds, adding that the market is going through a stage wherein external headwinds are dominating domestic tailwinds.
Elevated crude prices and high US bond yields will continue to impact market. FIIs will continue to sell in the near term, and DIIs will continue to absorb FII selling, according to them.
Moreover, an impressive GDP growth estimate of 7.1 per cent for FY27 and improving corporate profitability provide strong fundamental support to the market, the experts said.
“Therefore, investors can accumulate fairly valued growth stocks ignoring uncertainty and volatility in market. For investors with medium-to-long-term horizon, this market provides value buying opportunities. Patience is key,” they added.
They further noted that if crude declines sharply following favourable developments in the Middle East, the market can rally significantly from current levels.
Technically, Friday’s bounce and inside bar formation set up an environment for a rise to 22,800-23,200. However, inability to close above 22,575 will keep trend within bear grip. Downside marker for day may be kept at 22,295, Friday’s reaction low, another analyst said.
In addition, asian markets opened cautiously today in early hours as investors braced for earnings season which could test elevated technology valuations.
Oil prices eased on prospects of higher Russian supplies following agreement to halt attacks on energy facilities.
(IANS)
