Indian Markets Open Lower
Indian stock markets, the Sensex and Nifty50, started the week slightly down on Monday. This drop was due to big companies like HDFC Bank, Reliance Industries, and Infosys losing value. At around 9:17 am, the BSE Sensex was down by 105 points (0.13%) at 78,593, while the Nifty50 decreased by 27 points (0.11%) to 23,786.
In the Sensex group, companies such as Reliance Industries, HDFC Bank, Infosys, Mahindra & Mahindra, Maruti, and State Bank of India were struggling. However, some companies like Adani Ports, Bharti Airtel, Zomato, and ITC saw gains.
One particular stock, Utkarsh Small Finance Bank, rose by 4% because it decided to sell bad loans worth Rs 355 crore for Rs 52 crore. On the other hand, Ola Electric shares dropped nearly 5% after two important executives announced their resignations.
Looking at sectors, the Nifty Auto and Oil & Gas companies were down by more than 0.5%, leading to a weak market overall. Indices for Banking, IT, Metals, PSU Banks, Realty, and Consumer Goods declined slightly as well, dropping between 0.1% and 0.3%.
Expert Opinions
Analysts are cautious as investors move from 2024 to the New Year. Concerns about the future, especially with the changes in the U.S. market and political landscape, make experts worried. Dr. V K Vijayakumar from Geojit Financial Services noted that market prices are high, so any bad news might lead to further drops. IT and banking stocks have held up well due to their fair prices. Therefore, it’s wise for investors to stay alert as we head into 2025.
Mandar Bhojane from Choice Broking pointed out a “warning sign” in the daily chart for Nifty 50: an inverted hammer candle. This means people might be selling off their shares after a recent jump in price. Immediate support levels are around 23,600 and 23,500, which could be places where the market might bounce back. If the Nifty breaks above 24,000, it could rise further up to 24,400 and 24,600.
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