Market Overview

Indian equity benchmark indices, BSE Sensex and Nifty50, experienced a significant surge in opening trade on Thursday. The BSE Sensex surpassed the 74,000 mark, while the Nifty50 was near 22,450. This upturn marks a recovery from a 10-day downward trend, attributed to positive performance in Asian markets and strategic buying at reduced prices in Indian exchanges.

Expert Insights

Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, commented on the uncertain and volatile situation for global trade, economy, and markets. He highlighted the positive impact of the declining dollar index on emerging markets like India and the potential for a market rally if this trend persists. Additionally, RBI's decision to infuse Rs 1.9 trillion liquidity into the banking system and the decline in Brent crude prices were noted as positive developments for the Indian market.

Global Market Influence

US stock indices showed positive performance amidst volatile trading, with investors optimistic about the potential reduction in trade tensions. The Dow advanced 1.14%, the S&P 500 gained 1.12%, and the Nasdaq rose 1.46%. Meanwhile, Japanese bond yields reached decade-high levels, and Asian equities were supported by the postponement of certain US tariffs.

Investment Trends

Foreign portfolio investors registered net sales, while domestic institutional investors purchased shares worth Rs 3,371 crore. The net short position of foreign institutional investors decreased, indicating a shift in market sentiment.