Benchmark stock market indices opened flat on Thursday after the markets witnessed a brief rally in the previous trading session.
The S&P BSE Sensex lost 17.08 points to 80,217.00, while the NSE Nifty50 gained 8.05 points to 24,282.95 as of 9:25 AM.
Shares of Adani group gained up to 10% in early trade with Adani Energy Solutions Ltd climbing 10%.
Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services said that the consolidation phase in the market is likely to continue in the near-term.
“A clear positive for the market is the cessation of relentless selling by the FIIs. This will give confidence to the retail investors to again start buying aggressively. But there is no room for such high optimism. Strong dollar is a negative for emerging markets and, therefore, FIIs are unlikely to turn aggressive buyers. Also large institutions would prefer to wait and watch for clarity on Trump’s policies and its likely impact on trade and the global economy,” he added.
Among the top performers, Adani Enterprises led the pack with a surge of 3.30%, followed by Coalindia which gained 1.43%. Adani Ports and Shriram Finance also showed positive momentum, rising 1.35% and 1.34% respectively. BPCL rounded off the gainers with an increase of 1.06%.
On the declining side, Infosys faced the steepest fall of 1.47%, while Tech Mahindra dropped 1.44%. Engineering firm Eicher Motors slipped 1.03%, and HCL Technologies declined 0.92%. Power Grid Corporation saw a modest decrease of 0.84%.
“Market action could be stock-specific in response to news flows, like in the case of Adani stocks. A healthy trend in the market is the fundamentally-driven up move in quality banking stocks. The resilience in the health care segment can sustain,” said Vijayakumar.
The broader market indices displayed a positive performance. The Nifty Smallcap100 index showed the strongest gains, advancing by 0.77%, while the Nifty Midcap100 index also posted a healthy increase of 0.60%. India VIX, which measures market volatility, rose by 0.61%, indicating a slight uptick in investor uncertainty.