MUMBAI: Domestic stock indices opened with gains for the fourth straight session on Friday, supported by positive global cues, like hints of extending the July 9 tariff deadline.
The White House hinted that the tariff deadline may be pushed back, and President Donald Trump said a “great deal” is coming up with India, boosting investor sentiment.
The Nifty 50 index opened at 25,576.65, up by 27.65 points or 0.11 per cent. The BSE Sensex also opened higher at 83,774.45, gaining 18.58 points or 0.02 per cent.
Ajay Bagga, Banking and Market Expert, told ANI, “Fourth positive day coming up for Indian markets, with global cues turning supportive. The July 9th tariff deadline may get pushed again with a White House spokesperson saying on Thursday that President Trump can postpone it. US has announced the codification of its China tariff deal, though there is no confirmation from the Chinese yet.”
In the broader market, the Nifty Midcap 100 rose by 0.42 per cent while the Nifty Smallcap 100 gained 0.41 per cent. Sector-wise, Nifty Metal led the gains with a rally of over 1 per cent. Nifty PSU Bank surged 1.16 per cent in the opening session.
Other sectors also saw gains, Nifty Auto was up by 0.37 per cent, Nifty IT rose 0.36 per cent, and Nifty Pharma gained 0.28 per cent.
Indian negotiation team is currently in the US working on a trade deal, though the Bilateral Trade Agreement (BTA) may take another six months.
India’s strong domestic fundamentals, a responsive RBI, and good monsoon conditions are supporting the market. US markets hitting all-time highs and the US dollar weakening, emerging markets like India are likely to benefit. Foreign institutional investors are also expected to return to Indian markets, which could lead to a fresh infusion of liquidity.
Bagga also said that the all-time highs seen in September 2024 may be reached again in the next two months, if not sooner.
Akshay Chinchalkar, Head of Research at Axis Securities, said, “The inside day pattern from two days ago was proof that a trending move was coming, and we got one yesterday with more than 5 stocks advancing for every stock that fell in the Nifty. The thrust may have more to go though, with the 25700 – 25800 zone the next immediate upside hurdle, and while tactical support at 25000 is holding, bulls will be optimistic about getting there and beyond sooner than later.”
In other Asian markets, performance was mixed in the opening session. Japan’s Nikkei 225 index surged 1.7 per cent. Hong Kong’s Hang Seng remained flat. South Korea’s KOSPI fell by 0.94 per cent, while Taiwan’s Weighted Index was down by 0.07 per cent. (ANI)
