The Indian market opened higher today as Sensex rose by 74 points to 52,767. Sensex ended 153 points lower at 52,693 and Nifty fell 75 points to 15,699 on Tuesday. The investors were cautious ahead of the crucial Federal Reserve meeting outcome, which will be announced on June 15.
9: 16 am: Sensex rises 74 points to 52,767 and Nifty gains 11 points to 15,743 in early trade.
Domestic equity prices may see a subdued opening due to a lacklustre trend in the overnight US markets and a sluggish trend in the SGX Nifty. Bears should remain in control if Nifty's price falls below its biggest intraday support at 15611. The bullish trend is only possible after Nifty crosses its biggest hurdle of 16117 mark. The June policy meeting outcome of the FOMC will be all eyes on with a focus on the magnitude of the rate increase. The domestic market is affected by FII selling in the domestic market and crude oil prices above $1213 a barrel. A favorable base and a slowdown in core inflation led to a moderation in May CPI inflation. A decline in rural inflation helped bolster headline inflation, mostly on a favorable base. The decline in inflation is likely to slow due to the persistence of geopolitical tensions and elevated global commodity prices, although we expect inflation to have peaked in April. We maintain our FY 2023E average CPI inflation estimate at 6.5% in FY 2023 E and we expect that the RBI will frontload its rate actions and pencil in further repo rate hikes of 85 bps in the rest of FY 2023, including 35 bps hike in August policy and a 50 bps hike by end-FY 2023. After a sharp decline, the Nifty is consolidating in the range of 15,700 -- 15,850, according to Shrikant Chouhan, head of Equity Research Retail Kotak Securities Ltd. The short-term formation is still on the weak side. We think that if the index falls below the level of 15,700, it could hit 15,600 -- 15,550 levels. On the flip side, 15,850 would act as an immediate hurdle for the bulls above which it could move up to 15,950 -- 16,000. The Indian market is likely to open on a flat note today as the SGX Nifty fell 7 points to 15,714. The Singapore Stock Exchange is considered to be the first indication of the opening of the Indian market.
The Indian equity market fell for the third consecutive session on Tuesday due to negative global cues. Sensex ended 153 points lower at 52,693 and the Nifty fell 75 points to 15,699 in the second trading session of this week. The investors were cautious ahead of the crucial Federal Reserve meeting outcome, which will be announced on June 15.