NEW DELHI, Sep 10: Indian stock markets opened largely stable on Thursday after the sharp decline seen in the previous session, as investors remained cautious amid elevated crude oil prices and continuing geopolitical uncertainty.
The Sensex gained 65.11 points, or 0.09 per cent, to reach 74,829.34, while the Nifty 50 edged up 11 points, or 0.05 per cent, to 23,442.50 around 9:20 am.
Trading across the broader market was mixed. The Nifty Midcap 100 slipped 0.15 per cent, while the Nifty Smallcap 100 advanced 0.21 per cent during early deals. SBI, Axis Bank and ITC were among the stocks supporting the Sensex, whereas M&M and Tata Steel remained under pressure.
The subdued opening came a day after a broad market decline. The Sensex had dropped 813.35 points, or 1.08 per cent, to finish at 74,764.23 on Wednesday. The Nifty 50 also fell 203.60 points, or 0.86 per cent, ending at 23,431.50.
The key concern for investors continues to be the sharp rise in international crude prices. Brent crude was around $101.34 a barrel, while WTI crude stood near $96.55. Higher oil prices can increase cost pressures for an oil-importing economy such as India and may affect sectors including aviation, paints and oil marketing companies.
Global market conditions have also turned cautious. US equities ended lower in the previous session, with the Dow Jones declining 0.77 per cent, the S&P 500 falling 0.48 per cent and the Nasdaq Composite losing 0.64 per cent.
The rise in energy prices has renewed concerns about inflation and the future path of interest rates. The US 10-year Treasury yield remained elevated near 4.84 per cent, while the dollar stayed firm, factors that can influence foreign investment flows towards emerging markets.
The Indian rupee also remained under pressure in the previous session, with reports placing it around 94.82-95.08 against the US dollar. Foreign portfolio investors were net sellers, while domestic institutional investors continued to provide buying support.
Market volatility has increased following the recent decline. The Nifty’s immediate support is seen around 23,400, followed by 23,200, while the 23,600-23,700 range remains an important resistance zone.
With crude prices, global markets and geopolitical developments continuing to drive sentiment, investors are likely to remain watchful. A recovery above key resistance levels could improve market confidence, while renewed selling below the immediate support zone may keep pressure on equities.
Overall, the Indian market is showing signs of stability in early trade, but the external environment remains challenging and could lead to heightened volatility during the session.
