Nifty, Sensex in red amid global bond market pressure

MUMBAI: The Indian stock markets opened lower on Thursday as global sentiment remained weak due to rising concerns over debt and deficit levels in the United States. The Nifty 50 index opened at 24,733.95, down by 79.50 points, or 0.32 per cent. Similarly, the BSE Sensex started the day at 81,323.05, slipping by 273.58 points, or 0.34 per cent.

The pressure in the bond markets worldwide has impacted investor mood, as markets reacted to US President Donald Trump’s debt financing and spending plans. Experts said that global markets are under pressure because bond markets across regions, from the US to Japan and Europe, are witnessing high volatility.

This is being seen as a warning sign linked to growing worries around the US debt situation and fiscal deficit, particularly due to the impact of Trump’s tax cuts and increased government spending.

Ajay Bagga, banking and market expert, said, “Bond markets from the US to Japan to Europe are throwing a tantrum as a warning. US markets had a 1 per cent plus fall on the back of worries on the debt and deficit impact of the Trump tax cuts and spending plan. Asian markets are likewise following the US lead”.

He further said, “An auction of a US 20-year Treasury was not met with as much enthusiasm as anticipated. We think the structural issues in the US fiscal math and debt burden remain, however, markets are edgy without giving time for developments to play out. We think a 10 per cent universal tariff, tax cuts and deregulation will create a strong environment for risk assets down the line. Trump has shown his sensitivity to market feedback and we expect better outcomes then what are being priced in by global markets at present”.

In the sectoral indices, Nifty Media was the only one to open in the green. All other sectors were in the red during early trade. Nifty IT was down more than 1 per cent, while Nifty FMCG slipped by 0.78 per cent. Nifty Auto also declined by 0.67 per cent, and Nifty Metal was marginally lower by 0.08 per cent.

Among the top gainers in the Nifty 50 during the opening session were Adani Ports, Adani Enterprises, Jio Financial Services, Tata Steel, and NTPC. On the losing side, Tech Mahindra, Power Grid, HCL Technologies, Trent, and Shriram Finance saw the most pressure.

On the earnings front, several major companies are scheduled to announce their quarterly results today for the fourth quarter of the financial year ended March 2025. These include ITC, Sun Pharmaceutical Industries, Grasim Industries, GMR Airports, Container Corporation of India, Metro Brands, The Ramco Cements, Emcure Pharmaceuticals, Gujarat State Petronet, Deepak Fertilisers and Petrochemicals Corporation, Clean Science & Technology, and TBO Tek.

Asian markets also mirrored the weak sentiment. Japan’s Nikkei 225 index declined by 0.9 per cent, Singapore’s Straits Times fell by 0.3 per cent, Hong Kong’s Hang Seng dropped 0.4 per cent, and South Korea’s KOSPI lost more than 1.3 per cent at the time of this report. (ANI)