Opening Bell: Nifty, Sensex open marginally lower; IT, Metal top losers

The Indian market opened on a negative note amid mixed global cues on Monday. Benchmark indices Nifty50 and Sensex started marginally lower by around 0.1 per cent on Monday. The broader Nifty50 opened above 16500 and the Sensex dropped over 70 points to open near 55,610.64. 

Following benchmarks, Nifty midcap and small cap indices declined by nearly 0.2% and 04% respectively.  

On sectoral front, FMCG, IT, Metal, Consumer Durable declined, while Autos, Banks gained.  

"The market mood has turned a bit cautious with better than expected US jobs data ( 3.90 lakh jobs) in May. This good economic news is negative from the market perspective since it means the Fed is likely to tighten aggressively without bothering about a possible recession," said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

For India elevated crude prices and a $23 billion trade deficit in May are areas of concern, he said.

"Even though FPI selling has come down in early June they are likely to sell more at higher levels. The dollar index above 102 is negative for EM equity. The positive factor for India is the DIIs and retail investors consistently buying the dips," the expert added.

In the pre-open, the Sensex tanked over 200 points or nearly 0.4% as nine stocks advanced and 21 shares declined on the 30-share index.  

Earlier, SGX Nifty Futures, which indicates opening trends of the Indian market, declined more than 70 points, while other major Asian markets traded in the green on Monday.  

Japanese Nikkei 225, Hang Seng Index at the Hong Kong exchange and Chinese Shanghai composite were trading higher by 0.29%, 0.72% and 0.38% respectively in early trade on Monday.  

Meanwhile, all important US indices on Wall Street ended in the red on Friday. US Benchmarks Dow Jones, Nasdaq and S&P 500 closed with losses of around 1% to 2.5%.