The domestic equity markets entered a consolidation phase on Wednesday after the recent rally driven by the India-US deal, with indices opening flat but registering modest gains amid returning foreign inflows.
The Nifty 50 index opened at 25,997.45, gaining 62.30 points or 0.24 per cent. The BSE Sensex began the session at 84,339.15, up by 65.23 points or 0.08 per cent.
Market experts said the broader trend remains supportive despite the range-bound movement.
Ajay Bagga, Banking and Market Expert, told ANI, “Expect consolidation. The softening of US yields (4.14 per cent) is a gift for EMs like India, as it eases pressure on the Rupee (currently near 90.58). However, the “AI threat” narrative in global financials could weigh on Indian IT and banking stocks if the sentiment sours globally.”
In the broader markets on the NSE, Nifty 100 gained 0.25 per cent, while Nifty Midcap 100 rose 0.13 per cent and Nifty Smallcap 100 advanced 0.18 per cent.
Sectoral indices also opened in the green. Nifty Auto surged 0.63 per cent, Nifty FMCG rose 0.39 per cent, and Nifty IT gained 0.19 per cent. Nifty Media moved up 0.16 per cent, Nifty Metal climbed 0.41 per cent, and Nifty Pharma rose 0.31 per cent. Nifty PSU Bank was up 0.14 per cent, while Nifty Realty edged higher by 0.08 per cent.
Ponmudi R, CEO of Enrich Money, said, “Indian equity markets are expected to open on a flat to mildly positive note today. The broader fundamental backdrop remains supportive, with FII flows turning decisively positive this month, lending strength to overall sentiment. Domestic institutional investors continue to accumulate on declines, providing a strong underlying cushion even during low-activity sessions. The rupee remains stable, adding macro comfort and limiting currency-driven volatility. In the absence of fresh triggers, the near-term trend is likely to remain range-bound, with consolidation around current levels.”
On the institutional front, domestic institutional investors (DIIs) made a net buying of Rs 1174.21 crores on Tuesday, while foreign investors also recorded a positive net investment of Rs 69.45 crores, supporting market sentiment.
In the commodities market, gold prices surged 0.83 per cent to Rs 158097 per 10 gm for 24 karat gold. Silver prices also rose sharply by 2.40 per cent to Rs 259078 per kg.
Other Asian markets traded with positive sentiment on Wednesday. Japan’s Nikkei 225 surged 2.23 per cent to 57650 points, Singapore’s Straits Times gained 0.25 per cent to 4976, Hong Kong’s Hang Seng index rose 0.24 per cent to 27249, Taiwan’s weighted index rallied 1.67 per cent, and South Korea’s Kospi index advanced 0.79 per cent.
In contrast, US markets closed lower on Tuesday, with the S&P 500 declining 0.36 per cent to 6939.97 and the Nasdaq falling 0.58 per cent to 23104.37.
