Indian Markets Slip as Nifty Drops Below 22,900 Amid Global Uncertainty

Indian stock markets opened lower on Thursday as the Nifty index slipped below the 22,900 mark, weighed down by mixed global cues and sectoral losses in auto, pharma, and FMCG stocks.

At 9:37 a.m., the BSE Sensex was down 219.70 points (0.29%) at 75,719.48, while the NSE Nifty lost 45.75 points (0.20%) to trade at 22,887.15.

The Nifty Bank index fell 270.85 points (0.55%) to 49,299.25, while broader indices such as the Nifty Midcap 100 and Nifty Smallcap 100 also witnessed declines of 0.53% and 0.39%, respectively.

Market Outlook and Key Movers

Market analysts pointed to immediate support levels for Nifty at 22,850, 22,800, and 22,700, with resistance expected at 23,000, 23,100, and 23,200.

Hardik Matalia, Derivative Analyst at Choice Broking, urged traders to exercise caution amid ongoing volatility, advising the use of strict stop-loss strategies and avoiding overnight positions.

In sectoral performance, major Sensex losers included M&M, ITC, Maruti, Zomato, HDFC Bank, L&T, Bharti Airtel, Sun Pharma, Tata Motors, and Hindustan Unilever. On the flip side, Infosys, Adani Ports, Axis Bank, Asian Paints, Tech Mahindra, NTPC, Power Grid, and ICICI Bank emerged as top gainers.

Global Cues and Institutional Activity

Overnight, Wall Street saw moderate gains, with the Dow Jones closing 0.16% higher at 44,627.59, the S&P 500 rising 0.24% to 6,144.15, and the Nasdaq inching up 0.07% to 20,056.25. However, Asian markets including Seoul, China, Bangkok, Japan, Jakarta, and Hong Kong traded in the red, reflecting global uncertainty.

Additionally, gold and silver prices saw mild profit-taking following hawkish U.S. Federal Reserve minutes, which suggested the need for further economic data before any rate cuts. This led to a stronger dollar index and rising U.S. bond yields, pressuring commodity prices.

Meanwhile, foreign institutional investors (FIIs) offloaded ₹1,881.30 crore worth of equities on February 19, while domestic institutional investors (DIIs) remained net buyers, acquiring ₹1,957.74 crore worth of stocks.

Analysts expect continued volatility in Indian equities. Investors and traders are advised to closely monitor global developments and exercise strategic risk management in the coming sessions.

(With inputs from IANS)