Indian Stock Market Poised for Cautious Start

2 Apr 2024 , 09:05 AM

On April 2, the benchmark Sensex and Nifty indices are expected to open on a negative note, as indicated by trends in the GIFT Nifty, suggesting a potential loss of 98 points for the broader index.

The Indian equity market commenced the financial year 2024-25 on a strong note, achieving fresh highs and extending its winning streak for the third consecutive session on April 1. This surge was attributed to buying activity across various sectors, particularly in power, realty, and metal stocks.

At the close of trading on April 1, the Sensex recorded a gain of 363.20 points, or 0.49%, reaching 74,014.55, while the Nifty surged by 135.10 points, or 0.61%, closing at 22,462.

Meanwhile, on Wall Street, the Dow and S&P 500 experienced slight declines on Monday, with investor concerns revolving around the timing of interest rate adjustments by the Federal Reserve. These concerns were exacerbated by stronger-than-expected manufacturing data, which pushed Treasury yields higher. The Dow Jones Industrial Average fell by 240.52 points, or 0.60%, to 39,566.85, while the S&P 500 decreased by 10.58 points, or 0.20%, to 5,243.77. However, the Nasdaq Composite managed to eke out a gain of 17.37 points, or 0.11%, closing at 16,396.83.

In Asian markets, early trading on Tuesday saw marginal gains, with the Nikkei up by 0.3%.

According to provisional data from the NSE, foreign institutional investors (FIIs) were net sellers of shares worth ₹522.30 Crore, while domestic institutional investors (DIIs) purchased stocks worth ₹1,208.42 Crore on April 1.