India’s benchmark indices opened higher on Wednesday, recovering from the previous day’s sharp decline triggered by concerns over U.S. President Donald Trump’s trade tariffs.
By 9:15 a.m., the Nifty rose 0.23 percent to 23,079.6 points, while the Sensex climbed 0.27 percent to 76,046.42 points.
Top gainers in early trading included Wipro, Infosys, Sun Pharma, TCS, and ITC, while BEL, Tata Motors, Power Grid, Adani Enterprises, and HDFC Life led the list of laggards.
Ajay Bagga, a banking and market expert, commented on the global factors influencing market movements, particularly the uncertainty surrounding U.S. trade policies.
“Trump gains on the positives from a pro-business, deregulating stance are offset by fears of his unleashing a protectionist, isolationist agenda based on tariffs that could dent global supply chains and bring unbridled inflation. There is a thought that all this may be a negotiation tactic and saner thinking will prevail, with face-saving concessions and promises from all sides leading to a more sober reality,” Bagga said.
Bagga also pointed out the challenges facing the Indian market. “India is on edge as two major brokerages, Kotak and UBS, highlight structural slowdown issues and the declining attractiveness of Indian markets. Expectations for the Union Budget 2025 to spur significant growth are low. With continued foreign portfolio investment (FPI) outflows, Indian markets remain under pressure.”
On the technical front, Akshay Chinchalkar, Head of Research at Axis Securities, warned of prevailing bearish signals.
“Yesterday was a downside thrust day, with one gainer for every five losers. The Nifty dipped below 23,000 before recovering, but breaking the 23,048 level has strengthened the bears’ grip,” Chinchalkar said.
“Immediate resistance is at 23,324, followed by the 23,440-23,471 zone. The bearish flag confirmed yesterday points to a near-term target of 22,830, and with 14-day momentum above oversold levels, we’re not yet at a downside extreme,” he added.
Despite the positive opening, market sentiment remains cautious amid ongoing FPI outflows and global macroeconomic uncertainties. Investors are keeping a close eye on developments ahead of the Union Budget 2025 and global policy changes that could impact the Indian market.
(With ANI inputs)
