Key Highlights

  • Mild Opening: At 9.25 am, Sensex was up 168 points (0.23%) at 73,414, and Nifty was up 45 points (0.20%) at 22,744.
  • IT Leads the Pack: Nifty IT gained 0.80%, followed by pharma at 0.30%, while private banks and media slipped.
  • Twin Headwinds: Brent crude near $114.50 a barrel and the US 10-year yield at around 5.02% continue to weigh on risk appetite.
  • Key Level to Watch: Analysts say Nifty needs a decisive move above 22,800 for broader gains.
  • Institutional Support: FIIs net bought equities worth Rs 872 crore and DIIs Rs 643 crore on October 28.

Indian equity benchmarks opened with mild gains on Thursday, shrugging off mixed global cues and elevated crude prices. As of 9.25 am, the Sensex was up 168 points, or 0.23 per cent, at 73,414, while the Nifty gained 45 points, or 0.20 per cent, to 22,744.

The broader market moved in step with the benchmarks. The Nifty Midcap 100 rose 0.25 per cent and the Nifty Smallcap 100 added 0.13 per cent.

Sectoral trends were mixed. Nifty IT led the gains, rising 0.80 per cent, followed by pharma at 0.30 per cent. Nifty private bank and media were among the top losers, down 0.18 per cent and 0.16 per cent, respectively. The outperformance of IT and pharma, both largely export-oriented sectors, fits a familiar pattern in which investors favour dollar earners when global conditions turn uncertain.

Crude and Bond Yields Cap the Upside

The gains, however, come with clear limits. An analyst said the opening rise may remain selective unless the Nifty decisively crosses 22,800, as the US Federal Reserve’s policy message, elevated crude and high US bond yields continue to restrict broader risk-taking.

Brent crude remains near $114.50 a barrel amid persistent geopolitical uncertainty. For India, a major oil importer, prices at this level keep energy costs high and leave oil-sensitive sectors exposed to sustained cost pressure.

The Fed kept its policy rate unchanged, but two members voted for an increase, and markets have raised expectations of another hike in December. The US 10-year Treasury yield moved to around 5.02 per cent as a result, suggesting the pause has done little to ease global financial conditions. Market participants said that unless yields stabilise below recent levels, dollar assets may keep competing with emerging markets for capital and limit how long foreign inflows into India last.

That makes the latest institutional data notable. On October 28, foreign institutional investors (FIIs) were net buyers of equities worth Rs 872 crore, while domestic institutional investors (DIIs) bought equities worth Rs 643 crore. FII buying despite US yields above 5 per cent shows some continued appetite for Indian equities, though analysts remain cautious about its durability.

Technical Levels and Global Markets

In the previous session, the Nifty closed at 22,698, down 0.22 per cent, after profit booking capped a recovery. Immediate support is placed at 22,600–22,650, with resistance at 22,850–22,900. Bank Nifty closed at 54,267, up 0.54 per cent, with support at 53,800–54,000 and resistance at 54,600–54,800.

Asian markets were mixed. China’s Shanghai index fell 0.82 per cent and Shenzhen dropped 2.48 per cent, while South Korea’s Kospi lost 2.72 per cent. Japan’s Nikkei rose 0.28 per cent and Hong Kong’s Hang Seng Index edged up 0.06 per cent.

Overnight, US markets closed in the green, with the Nasdaq up 0.27 per cent, the S&P 500 up 0.28 per cent and the Dow Jones up 0.19 per cent.

For the rest of the session, the 22,800 mark on the Nifty, movement in crude prices and the direction of US bond yields are likely to decide whether the early optimism holds.

(With inputs from IANS)