Indian Equity Benchmarks Open in Green

On the first trading day of 2025, Indian equity benchmark indices, BSE Sensex and Nifty50, opened in green. The BSE Sensex rose by 100 points, while Nifty50 hovered near the 23,650 mark. At 9:31 AM, the BSE Sensex was trading at 78,163.20, marking a slight increase of 24 points or 0.031%. Conversely, Nifty50 was observed at 23,644.25, experiencing a minor decrease of 1 point or 0.023%.

Technical Analysis: SAMCO Securities' Derivatives Analyst Dhupesh Dhameja noted that Nifty continues to trade within a confined range, indicating no clear direction with limited price movements and recurring indecisive patterns.

Market Performance and Technical Outlook

The Indian market indices showed a subdued performance on Tuesday with minor losses. The IT and banking sectors faced downward pressure. The year 2024 concluded with Nifty gaining 9% and Sensex advancing 8%. Rupak De, Senior Technical Analyst at LKP Securities, mentioned that the technical outlook remained static as the index failed to surpass significant moving averages despite recovering from a weak opening. He added, "Sentiment appeared to have improved throughout the session. If Nifty moves above 23,700, it could advance towards 23,900-24,000. On the lower end, support is placed at 23,550."

Global Market Influence and Institutional Investments

US equities declined on Tuesday, marking the end of a notable year driven by artificial intelligence developments and the Federal Reserve's first rate reductions since mid-2020. On the domestic front, Foreign Institutional Investors (FIIs) offloaded Indian equities valued at Rs 4,645.22 crore on Tuesday, whilst Domestic Institutional Investors (DIIs) acquired shares amounting to Rs 4,546.73 crore, indicating contrasting investment patterns between the two institutional categories.