MUMBAI: Indian stock markets opened flat on Tuesday amid a rally in other Asian stocks; however, the markets are indicating positive movement with short-term consolidation.
The Nifty 50 index opened at 24,652.65 points with a gain of 33.65 points or 0.14 per cent, while the BSE Sensex opened at 81,575.96 with a surge of 67.50 points or 0.08 per cent.
Market experts noted that the consolidation phase in the markets is expected to continue. However, the risk of a downward trend in markets amid the Syria crisis has vanished. The markets may enter a rally phase by the end of the year.
Ajay Bagga, Banking and Market Expert said “Expect another day of soft consolidation in the markets . We expect some days of consolidation and then a move up for the markets in a Santa Claus rally towards the end of the year. Central Banks are going to make interest rate moves this week and the US CPI will set the tone for the Fed next week”.
In the sectoral indices on NSE, except for Nifty Auto, all other indices gained during the opening session, with Nifty Realty leading in gains with a surge of 0.75 percent.
In the Nifty 50 list, 27 stocks opened in green, while 22 declined, and 1 remained unchanged. The top gainers of Nifty 50 include Shri Ram Finance, Apollo Hospitals, BEL, Infosys, and HCL Tech.
Top losers in the opening include M&M, ONGC, Bajaj Auto, Ultratech Cement, and Trent.
“The Nifty finds itself in a state of price compression based on two types of popular “Narrow Range” patterns that suggest a trending type of move may just be around the corner. The bias remains higher as long as the 24360 – 24445 area holds, with the upside hurdle range coming in play between 24800 and 25000″ said Akshay Chinchalkar, Head of Research, Axis Securities.
In other Asian markets, all major indices gained except Taiwan’s Weighted Index, which declined marginally at the time of filing this report. Japan’s Nikkei Index remained flat in green, while South Korea’s markets bounced back with a surge of 2 per cent after declining in previous sessions amid ongoing political uncertainty in the country.
Hong Kong’s Hang Seng also gained more than 1 per cent on optimism regarding China’s stimulus package. (ANI)