Stock markets trade marginally higher amid elevated crude oil prices
Indian benchmark indices Sensex and Nifty traded marginally higher in early deals amid elevated crude prices and weak US markets. Geopolitical tensions, renewed US-Iran concerns and foreign fund outflows kept investors cautious, while banking and metal stocks supported the domestic market
Mumbai: Benchmark equity indices Sensex and Nifty were trading marginally higher in early deals on Friday as elevated crude oil prices due to geopolitical uncertainties and a sharp fall in US markets made investors cautious.
After a positive beginning to the trade, the 30-share BSE Sensex turned flat and was down 25.97 points to 77,506.51 in early deals. The 50-share NSE Nifty also skidded 5.75 points to 24,223.10 after a positive start.
However, both the benchmark indices bounced back and were trading marginally higher. The BSE benchmark quoted 62.60 points higher at 77,595.14, and the Nifty was up 10.65 points to 24,244.80.
Among the 30 Sensex firms, Kotak Mahindra Bank, Bharat Electronics, HDFC Bank, State Bank of India, Tata Steel and ICICI Bank were among the biggest winners.
InterGlobe Aviation, Titan, Hindustan Unilever and Trent were among the laggards.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 583.36 crore on Thursday, according to exchange data.
Brent crude, the global oil benchmark, traded 0.30 per cent lower at USD 93.50 per barrel.
“Global cues have turned cautious, with the Dow falling 1.32 per cent, the S&P 500 declining 0.87 per cent and the Nasdaq losing 1 per cent. Brent crude remains elevated near USD 93 a barrel amid renewed US-Iran tensions,” Rajesh Palviya, Head of Research at Axis Securities, said.
In Asian markets, South Korea’s Kospi, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng index quoted higher, while Japan’s Nikkei 225 traded lower.
US markets ended in negative territory on Thursday.
“The Treasury-driven relief that supported markets on Thursday proved short-lived, with US equities falling sharply overnight as bond yields reversed their earlier decline. President Donald Trump’s comments on an ‘economic war’ against Iran have also revived concerns over oil-driven inflation and prolonged geopolitical uncertainty,” Ponmudi R, CEO of Enrich Money, an online trading and wealth-tech firm, said.
On Thursday, the Sensex jumped 628.04 points, or 0.82 per cent, to settle at 77,537.72 after four days of decline. The Nifty also bounced back after seven days of losses. It ended at 24,231.85, up 153.55 points, or 0.64 per cent.
