The India Stock Market opened on a great note on Monday amid ongoing border tensions between India and Pakistan. The Bombay Stock Exchange (BSE) benchmark Sensex soared by 456.05 factors to 79,668.58 in early trade. On the other hand, the NSE Nifty rallied 112.85 points to 24,152.30. The situation at the India-Pakistan border remains the key difficulty for the market players.
Ajay Bagga, a Banking and Market Expert, told ANI, “FPI flows are continuing to help Indian markets along with endured DII flows. With no major OFS or IPOs soaking up liquidity, markets are taking advantage of these flows. However, last week we saw falls in each leading and broader indices in India. This was regardless of great numbers from each FPIs and DIIs. This factors to outflows from prop table and HNI sections behind the rising geopolitical tensions on the Indian subcontinent”.
Sensex Nifty declined on Friday in India Stock Market
On Friday, each Sensex and Nifty declined sharply due to trading in Axis Bank and the continued border tensions following the Pahalgam terror attack.The BSE barometer tanked 588.90 points or 0.74 % to settle at 79,212.53. During the day, it dropped 1,195.62 points or 1.49 % to 78,605.81.
Falling for the second day, the NSE Nifty tumbled 207.35 factors, or 0.86 %, to 24,039.35. Experts stated worries over developing geopolitical tensions after Tuesday’s Pahalgam terror attack weighed on market sentiment.
Investor sentiments increase IND- PAK Border Tensions
All sectoral indices except for IT index closed in the red in India Stock Market even as midcap and smallcap indices dropped more than 2 % due to income taking.
“Investor sentiment turned careful amid escalating tensions alongside the Indo-Pak border. Mid and smallcap stocks bore the brunt of the sell-off, pushed by using their multiplied valuations and increasing problems over potential income downgrades following a muted begin to the earnings season,” Vinod Nair, Head of Research, Geojit Investments Limited, said.
Read also: Immigrants Crackdown in Gujarat: 550 detained with Fake ID, Expired Visas