Sensex, Nifty open lower as financials and IT stocks face selling pressure

The S&P BSE Sensex fell 0.187 per cent to 72,158.10 at 9:18 am, while the NSE Nifty50 declined 0.10 per cent to 21,720. The broader market indices were mixed, but most were trading with a positive bias.

Benchmark stock market indices opened the trading session on a weak note as stocks of information technology and financial services companies declined due to selling pressure.

The S&P BSE Sensex fell 0.187 per cent to 72,158.10 at 9:18 am, while the NSE Nifty50 declined 0.10 per cent to 21,720. The broader market indices were mixed, but most were trading with a positive bias.

However, the major Nifty sectoral indices such as Nifty Bank, Nifty Financial Services and Nifty IT fell in early trade, as major stocks faced selling pressure.

The top five gainers on the Nifty50 were Divi’s Lab, Coal India, Sun Pharma, Cipla and Dr Reddy’s. On the other hand, the top losers were Ultratech Cement, M&M, Eicher Motors, Hero MotoCorp and L&T.

After a fantastic 2023, domestic markets started off the year on a weak note as the benchmark indices ended the session with marginal gains.

However, analysts remain optimistic about the performance of stock markets in 2024, supported by strong macroeconomic indicators and overall growth.

Ahead of today’s trading session, Deven Mehata, research analyst at Choice Broking, said, “The benchmark Sensex and Nifty indices are likely to open marginally lower on January 2 as trends in the GIFT Nifty indicate a flat to negative start for the broader index.”

“The market is expected to remain range-bound, with the Nifty50 finding immediate support in the 21,550-21,600 level and resistance in the 21,800-21,850 zone. A big breach of 21,850 can send the index to 22,000, while a break of the same support can send it to 21,500,” he noted.

“As a result, short-term or intraday traders have the option to trade on both sides, with Nifty acquired around support levels and profits booked near resistance levels,” Mehata added.

Published By:
Koustav Das
Published On:
Jan 2, 2024