Mumbai

Indian equity benchmark indices opened on a flat note on Thursday amid elevated crude oil prices and implications surrounding the US Federal Reserve's monetary policy outlook. 

However, both the Sensex and Nifty managed to trade marginally higher in early trade with Sensex gaining over 150 points and Nifty hovering above 22,730 level.

Sensex opened at 73,268.47 and was trading at around 73,405.24, up 159.21 points or 0.22 per cent against the previous close of 73,246.03 at the time of reporting. Likewise, Nifty opened at 22,690.65 and was trading at around 22,745.05, up 45.90 points or 0.20 per cent against the previous close of 22,698.85.  

Sectorally, the market witnessed mixed trends, with auto, IT, metal, pharma, healthcare and telecom indices trading in the green, while FMCG, cement, oil and gas, realty, banking, consumer durables and financial services indices remained under pressure. 

On NSE, Adani Ports, BSE, Power Grid, TCS, Titan, Coal India, Reliance, HCL Tech, Max Health, Infosys, Kotak Bank, NTPC, Bharti Airtel, BEL among others were top gainers. Trent, Hindalco, Maruti, Nestle, LT, Bajaj Finance, HDFC Bank, ICICI Bank, ONGC among others were top drags. 

On BSE, Adani Ports, Power Grid, NTPC, TCS, Reliance, Titan, Kotak Bank, HCL Tech, Infosys among others were top gainers. Trent, Bajaj Finserv, Maruti, LT, Bajaj Finance, Tata Steel, HDFC Bank, Eternal among others were top laggards. 

According to Ajit Mishra, SVP, Research, Religare Broking, “Markets are likely to remain cautious today as investors weigh corporate earnings, elevated crude oil prices and the implications of the US Federal Reserve’s policy outlook.” 

The US Federal Reserve kept interest rates unchanged and reaffirmed its commitment to bringing inflation under control.

“While the Fed kept rates unchanged, persistent inflation and the possibility of further tightening could sustain pressure on global financial conditions and foreign flows,” Mishra noted. 

As per Mishra, “Brent crude near USD 113–115 per barrel remains a key concern for India, given its implications for the import bill, currency stability, inflation and corporate margins.”

At the time of reporting, Brent crude was trading at around USD 114.05 per barrel while crude oil was trading at around USD 101.45 per barrel. 

Market analyst Vipin Dixena noted, “The market's near-term direction will depend on whether earnings resilience can offset the pressure from expensive crude oil and uncertain foreign flows. Export-oriented companies may benefit from currency movements in some cases, but the impact will vary by sector and input-cost exposure.

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“A sustained move above the 22,750–22,800 zone would help improve near-term sentiment. The 22,600–22,500 zone is an important area to monitor; a decisive breakdown could invite further selling,” Dixena noted, adding,

“The recent weakness suggests that rallies may face selling pressure until the index demonstrates sustained strength. These are indicative zones, not confirmed intraday levels.”