The Indian stock market saw a positive opening on Tuesday, with the S&P BSE Sensex climbing over 200 points and the Nifty50 index maintaining levels above 22,550. While investors kept a cautious stance, broader market indices struggled under pressure. Tata Investment Corporation surged 10%, drawing attention amid mixed market sentiment.
Benchmark Indices Show Modest Gains
The Sensex was trading at 74,660.45, up by 206.04 points, or 0.28%, at 10:30 AM. Meanwhile, the Nifty50 index edged higher by 28.35 points, or 0.13%, to reach 22,581.70. Market breadth remained mixed, with 23 stocks advancing and 27 declining on the Nifty50 index.
While frontline indices showed resilience, midcap and smallcap stocks failed to mirror the optimism. The Nifty Midcap 100 and Nifty Smallcap 100 opened in the red, reflecting selling pressure in broader markets.
Sectoral Performance and Key Gainers
The market action was driven by select heavyweight stocks. Mahindra & Mahindra (M&M) led the charge with a 3.24% gain, followed by Bajaj Finserv and Bajaj Finance. Bharti Airtel and IndusInd Bank also contributed to the upside, rising over 2%.
On the flip side, Hindalco emerged as the biggest drag, slipping 3.26%. Other notable losers included Coal India, NTPC, SBI Life, and Sun Pharma, which dropped up to 2.10%.
Tata Investment Corp Sees Double-Digit Surge
Tata Investment Corporation was the standout performer of the day, jumping 10% in early trade. The rally came amid strong investor interest and bullish momentum in the stock. Analysts attributed the surge to speculative buying and renewed focus on investment holding companies.
Global Markets and Economic Signals
Overseas cues played a crucial role in shaping market sentiment. The U.S. markets had a mixed session on Monday, with the NASDAQ dropping for the third straight session, losing 1.2%. Persistent inflation concerns and weak economic indicators weighed on investor confidence. The Dow Jones and S&P 500, however, ended the day nearly flat.
Apple grabbed headlines after announcing a $500 billion investment in the U.S. over the next four years. Meanwhile, geopolitical developments took center stage as former U.S. President Donald Trump confirmed his decision to proceed with tariffs on Canada and Mexico, effective next month. The move is expected to impact global trade and inflation trends.
Asian markets reflected the nervousness, with key indices in Japan, South Korea, and Hong Kong trading lower by up to 1%. The Korean Central Bank slashed interest rates by 25 basis points and revised its GDP growth projection downward from 1.9% to 1.5% for 2025.
Foreign Investors Extend Selling Spree
Foreign institutional investors (FIIs) continued to offload Indian equities, selling shares worth ₹6,286 crore on Monday. The selling pressure from FIIs has been mounting in recent weeks amid global uncertainties. However, domestic institutional investors (DIIs) provided some relief, purchasing stocks worth ₹5,185 crore.
In the derivatives segment, FIIs increased their short positions, with open interest rising to 2 lakh contracts from 1.85 lakh contracts a week earlier. The shift indicates a cautious approach toward the Indian markets in the near term.
As investors weigh domestic resilience against global headwinds, the stock market remains in a delicate balance. The focus now shifts to key economic data and corporate earnings that could dictate the market’s trajectory in the coming days.
