Indian stock market opens in red amid selling in IT, PSU banks, and pharma sectors

Global markets mixed, FII selling continues to weigh on Indian equities

The Indian stock market opened lower on Monday, with selling pressure seen across key sectors such as Information Technology (IT), Public Sector Banks (PSU), and Pharmaceuticals.

At around 9:51 am, the Sensex was trading at 77,247.18, down 333.13 points or 0.43%. The Nifty index stood at 23,434.00, slipping 98.70 points or 0.42%. Market sentiment remained negative, with a majority of stocks trading in the red. On the National Stock Exchange (NSE), 572 stocks were in the green, while 1,794 stocks were in the red.

The Nifty Bank index saw a modest rise, gaining 21.25 points or 0.04%, to reach 50,200.80. However, the Nifty Midcap 100 index dropped 212.65 points or 0.39%, trading at 53,830.45, while the Nifty Smallcap 100 index fell 183.85 points or 1.04%, settling at 17,417.20.

Sectoral performance and top gainers

Among the Sensex stocks, the top gainers included HDFC Bank, Bajaj Finance, Tata Steel, Asian Paints, L&T, Sun Pharma, Adani Ports, Mahindra & Mahindra (M&M), and JAW Steel. On the other hand, the biggest losers were Infosys, HCL Technologies, Tech Mahindra, Tata Consultancy Services (TCS), NTPC, Axis Bank, and Tata Motors.

Despite the fall in the Nifty index, market experts have cautioned against expecting a quick recovery. According to analysts, there are currently no signs of a sustained rebound in the market.

“Although the Nifty has corrected by 10.4% from its peak, there are no indications of a strong recovery,” said market experts. “Persistent foreign institutional investor (FII) selling, earnings downgrades for many stocks for FY25, and ongoing market uncertainties are weighing heavily on sentiment.”

With the market sentiment turning negative, experts have urged investors to remain cautious and wait for clearer signals on the market’s direction. They emphasized the importance of exercising patience and avoiding rash decisions in the current volatile environment.

In the broader Asian markets, the trend was mixed. While markets in Seoul, Shanghai, Bangkok, and Hong Kong were trading in the green, the Jakarta and Tokyo markets were in the red. The US stock markets had closed lower on the previous trading day, further dampening investor sentiment globally.

Foreign institutional investors (FIIs) continued to sell off equities, offloading Rs.1,849 crore worth of stocks on November 14. In contrast, domestic institutional investors (DIIs) were more active on the buy side, purchasing equities worth Rs.2,481 crore on the same day.

As the market grapples with external and internal pressures, investors are advised to stay cautious and closely monitor developments for any signs of stabilization.

For all the latest updates, download PGurus App.

The post Indian stock market opens in red amid selling in IT, PSU banks, and pharma sectors appeared first on PGurus.