Indian stock markets opened on a mixed note Wednesday, with the Nifty50 index hovering close to its all-time high amid global cues and anticipation of key economic data. The Sensex opened at 81,779.84, slightly higher than its previous close of 81,711.76, while the Nifty50 started the day at 25,030.80, marginally above Tuesday’s close of 25,017.75.

As of 9:30 am, top gainers on the NSE included LTIMindtree (2.04%), Mahindra & Mahindra (1%), Tata Motors (0.61%), Power Grid (0.42%), and Titan (0.41%). On the flip side, ONGC (-1.20%), Hero MotoCorp (-0.83%), Tata Steel (-0.74%), Bajaj Finserv (-0.71%), and TCS (-0.65%) were among the top losers.

Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd., commented on the market outlook, saying, “The Nifty is approaching its all-time high of 25,078.30, and our outlook remains bullish, anticipating a move into uncharted territory. Key support lies at 24,750...”

Investors are closely watching Nvidia’s earnings report, scheduled for release later today, which could impact AI-related stocks globally. Additionally, expectations of a Federal Reserve rate cut on September 18th are building, with traders pricing in a 68% chance of a 25-basis point reduction.

The market sentiment is also influenced by strong foreign institutional investor (FII) inflows, with over Rs 8,000 crore invested in both cash and F&O segments yesterday. Vikas Jain, Head of Research at Reliance Securities, noted, “Market is expected to open positively due to strong foreign institutional investor (FII) inflows into domestic equities, coupled with the US market hitting record highs.”

In the commodities market, gold prices remained flat at $2,515.88, near the record high set last week. Brent crude prices dropped 3% to below $80 per barrel after Goldman Sachs and Morgan Stanley revised their price forecasts downwards due to rising global supplies.

Avdhut Bagkar, Technical and Derivatives Analyst at StoxBox, provided insight on the technical aspects, stating, “Nifty50 witnessed a muted opening and remained capped in a narrow trading range of 99 points. With the index facing immediate resistance near its all-time high levels, it failed to sustain at the day’s high...”

The market is expected to remain range-bound ahead of Nvidia’s quarterly report and the upcoming US inflation data release. Investors are also keeping an eye on the August F&O expiry scheduled for tomorrow, which could lead to increased volatility in individual sectors and stocks.

Sectors to watch include pharma, media, exchange-related, real estate, and mid and small-cap stocks, which are expected to show positive momentum. The National Stock Exchange’s receipt of SEBI’s No Objection Certificate for its long-awaited IPO has put exchange-related stocks in focus.

As the trading day progresses, market participants will be closely monitoring global cues, sector-specific movements, and key economic data releases to gauge the market’s direction.

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