FIRST TRADE: Indices open higher; Sensex up 185 pts, Nifty near 23,400
Indian equiites on the last trading day started higher even as the FIIs continue to sell-off relentlessly.
Indian equities on the last trading day of the week started. At the open, Sensex was up 0.24 per cent or 185.47 points at 77,341.26, while Nifty was up 0.17 per cent or 41 points at 23,390.75. Bank Nifty remained in the green after acute pressure on the previous day, while the broader markets were also showing strength, with Nifty Smallcap 100 index up 0.3 per cent.
Adani stocks which bore the brunt of the US court indictment yesterday continued to lose ground amid latest reports suggesting that the Kenya government has scrapped deals worth $2.6 with the conglomerate.
Nevertheless, the strength in the market poses optimism as of the 30 BSE stocks, 28 stocks are seen advancing with only 2 in the red.
Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services highlighting said, "The market can recover from the present levels since yesterday’s selling was largely due to the fall out of the Adani issue. But considering the headwinds the market is facing, a sustained recovery is unlikely. The strength in the broader market should not be confused with the fundamental strength of the segment. The strength of the broader market, particularly the midcaps, is due to liquidity and not fundamentals."
Prashanth Tapse, Senior VP (Research), Mehta Equities said, The Adani Group saw its sharpest decline since the Hindenburg controversy, with a Rs 2.2 lakh crore loss in market cap. Adani Enterprises plunged 23%, while Adani Ports dropped 14%. GQG Partners, holding stakes between 1.5% and 2% in six Adani companies as of September 2024, is under scrutiny.
Looking at the technicals, Tapse mentioned that Nifty is poised for further downside as FIIs continue their sell-off, unloading ₹39,669 crore in November.
Asian markets
Most Asian markets are trading in the green with Japan's Nikkei leading the gains with upside of up to 1 per cent at the last count. The key MSCI Asia index ex Japan index was up 0.31 per cent.
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