Indian equities mirroring weakness in the Asian markets opened lower-extending its previous trading session’s losses.. The sudden and abrupt decision by the US President Joe Biden to drop out of the presidential elections weighed on sentiments.

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The Nifty bluechip index opened at 24,445.75, down 0.35 per cent or 85.15 points, while the Sensex opened at 80,408.90, down  0.24 per cent at 80,408.9.

Key catalysts this week include the Union Budget 2024 and US PCE data, which may influence rate cut expectations, said Prashanth Tapse, Senior VP (Research), Mehta Equities. Also, he added that the uncertainty that has surfaced with the US President Biden dropping out of the 2024 presidential race is likely to induce volatility as investors seek stability. 

Within the Nifty pack, BPCL, UltraTech Cement, NTPC, Power Grid Corporation and HDFC Bank were the top gainers in early trade, while losers included stocks like Wipro, Kotak Mahindra, RIL, Eicher Motors and ICICI Bank.

Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services on the markets today said, "Going into the Budget the market will be trading cautiously. The pressure on the broader market is likely to continue since there is more scope for profit booking.”

It is important to understand that the market expects a positive Budget which is growth oriented and fiscally prudent with income tax reliefs for the middle class. Also the market expects status quo on the Long Term Capital Gains taxation. If there is any disappointment in these areas the market can react negatively. On the other hand, if the Budget delivers on expectations, aggressive retail buying can lift the market to new highs, he added.

In the broader market, Nifty Midcap 100 and Smallcap 100 traded 0.12 and 0.09 per cent at the last count. Meanwhile, the high-beta Nifty Bank was flat with a positive bias at 52,281.80. 

Buzzing stocks

HDFC Bank: After HDFC Bank announced better-than-expected net profit during the June quarter, the stock at day's high scaled up to 2 per cent to Rs 1,640 per share.

PFC: After the company appointed Sandeep Kumar as Director (Finance) effective July 11, the stock traded with gains of over 1 per cent.

Wipro: The stock slumped as much as 9 per cent as weak Q1 results disappointed the Street. As against peers like TCS and Infosys, the company reported quarterly decline in revenue to Rs 21,963.8 crore.

Vedanta: After the company close its QIP and raised Rs 8,500 crore, the stock of the diversified metals company ended higher by over 1 per cent at Rs 445.

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