Stock Market Today: Bears press after rally; Sensex below 77,200, Nifty slips below 23,850

Indian equity markets opened lower on Thursday, tracking fresh volatility in global cues as crude oil prices resumed their upward move after Iran accused the US of violating the ceasefire agreement.

The BSE Sensex fell 462.90 points, or 0.60 per cent, to 77,100 at 09:16 am, after opening at 77,319. The index had closed at 77,562.90 in the previous session.

The Nifty 50 declined 162.40 points, or 0.68 per cent, to 23,834.95. The index opened at 23,909.05 against a previous close of 23,997.35.

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The remarks have raised concerns over the durability of the ceasefire, triggering a fresh spike in crude oil prices and weighing on market sentiment.

Asian markets weaken in tandem

The weakness in domestic equities mirrored a broader decline across Asian markets. Japan’s Nikkei 225 fell 393.42 points, while South Korea’s KOSPI dropped 90.27 points, down 1.54 per cent.

Hong Kong’s Hang Seng Index and China’s Shanghai Composite Index also edged lower. Thailand’s SET Composite Index remained an outlier, trading with marginal gains.

Profit booking after sharp rebound
The previous session had seen a sharp recovery of around 4 per cent, driven by easing geopolitical tensions and supportive domestic cues. The recent dip appears to be profit-taking following a robust surge, as investors grow wary once more, given the reemergence of global uncertainties.

Top Decliners and Overall Market Direction

Eternal Ltd, Mahindra & Mahindra, Infosys, and Jio Financial Services were among the biggest losers on the Nifty 50, a reflection of the current trend.

The Nifty MidCap index slipped 0.42 percent, and the Nifty SmallCap index fell 0.21 percent, suggesting a slight softening beyond the largest companies.

Sector Performance: A Mixed Bag

Sector performance was varied, with metals and media stocks demonstrating some strength.
However, IT stocks were under pressure and emerged as the top laggards in early trade.

Oil and gold surge on fresh risks

In commodities, Brent crude’s April contract rose about 2.9 per cent to $97.50 per barrel. The rebound comes after Iran’s fresh accusations against the US reignited fears of supply disruption if tensions escalate further.

Gold prices also surged nearly 2 per cent to around $4,790 per ounce, hitting their highest level since mid-March, as investors reassessed inflation risks and sought safe-haven assets amid renewed geopolitical uncertainty.

FIIs show mixed signals

Foreign institutional investors (FIIs) activity remained mixed.

FIIs’ index futures long positions rose from 18.44 per cent to 21.01 per cent. This signals some build-up in bullish bets.
However, FIIs continued to sell in the cash market. They sold Rs 2,812 crore on the 26th straight day.
The last long selling streak was on November 22, 2024. That time, FIIs sold for 38 straight sessions.
At the same time, FIIs turned net buyers after 25 days across segments. They bought Rs 4,783 crore in cash, index, and stock futures combined.

Domestic institutional investors (DIIs) stayed supportive. They bought Rs 4,168 crore. This is their 28th straight day of buying.

Oil near $97 keeps markets cautious

Crude oil prices remained elevated. Prices stayed near the $97 per barrel mark after the recent rebound. Rising oil is keeping investors cautious. It also adds to inflation concerns.