The Indian benchmark indices opened on a high tone on Wednesday, tracking Asian markets. In August, steady purchasing from foreign institutional investors (FIIs) and strong global cues caused the barometer indices to begin moving higher by about 0.15%. On August 16, FIIs spent Rs 1,376.84 crore on shares in the Indian market, bringing the month’s total net purchase amount to Rs 16,218.50 crore.
The Sensex rose almost 100 points, while the Nifty50 opened up about 15,900. On Wednesday, the two indices began trading at 17,868.15 and 59,938.05, respectively.
Nifty Midcap and Smallcap were seen trading higher by 0.40% each in early activity on the larger market.
In terms of industries, the Nifty Financial Services, IT, and Auto saw some selling pressure in the first trade, while others remained in the black. The two sectoral indices that gained the most were Nifty PSU Bank and Pharma.
Around 9.10 am, 20 equities on the 30-share Sensex increased, nine sank, and one remained neutral, resulting in a 100-point increase in the pre-open.
We are not sure that the 50-share index has peaked, despite the fact that Nifty halted on Tuesday at 17835, according to Anand James, Chief Market Strategist at Geojit Financial Services.
“This encourages us to continue riding the 18200 views, but with VIX slipping, trading ranges are indeed shrinking. Downside markers may continue to remain near 17660/690, with 17900vicinity likely to pose an intraday challenge,” he added.
He emphasised that it is crucial to recognise the fact that this rise is receiving support from all around the world because the S&P 500 and Nasdaq have recovered by 18 and 24% from their June lows, respectively.
On Wednesday morning, the SGX Nifty was trading about 50 points higher on the Singaporean exchange. Similar to this, the Hong Kong Exchange’s Hang Seng Index increased by 0.22%, the Nikkei 225 in Japan increased by 1%, while the Shanghai Composite in China traded unchanged in early trade.