Indian equity markets began Friday’s session on a positive note, supported by domestic buying in information technology (IT) stocks despite weak global market signals.
The Sensex opened at 73,665.64, rising by more than 400 points or 0.57%. The Nifty started at 22,742.20, gaining 54.55 points or 0.24%.
The IT sector led the early rally, with the Nifty IT index climbing nearly 3% in morning trade. The Nifty MidSmall IT & Telecom index gained 1%, while the Nifty Pharma and Nifty Healthcare indices also traded slightly higher. In contrast, the Nifty Metal, Nifty Realty and Nifty MidSmall Financial Services indices fell by up to 1%.
Crude oil and liquidity in focus
Analysts said Brent crude prices rising to $114 pose a major challenge for the economy and equity markets. However, the US 10-year Treasury yield falling sharply to 4.96% and the rupee strengthening to 94.70 against the US dollar could help limit foreign institutional investor (FII) selling.
More than Rs 3 lakh crore from the Rs 3.73 lakh crore collected for the Jio Platforms IPO over the past 2 days is expected to return to the financial system after share allotment by next Monday. Analysts said, “This potential liquidity surge can lift the market next week.”
The Nifty’s relative strength index (RSI) stood at 43.98, above its average of 38.86, while the put-call ratio (PCR) eased to 0.82. Analysts placed immediate support at 22,600–22,650 and resistance at 22,900–23,000.
Institutional activity and global cues
On Thursday, FIIs remained net sellers, offloading equities worth Rs 3,459 crore. Domestic institutional investors (DIIs) provided support through net purchases worth Rs 2,891 crore.
Global markets remained under pressure. In the US, the Nasdaq closed 2.6% lower on Thursday amid a technology sell-off led by AI-related stocks. Asian markets also opened lower, with Japan’s Nikkei declining around 1.7%.
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