Indian equity indices opened Monday’s trading session on a higher note. The NSE Nifty 50 opened 0.25% higher at 24,932. The BSE Sensex opened 194 points higher at 81,500.
Similarly, Bank Nifty opened 37 points or 0.07% lower at 55,112. In line with the benchmarks, the small and midcap stocks opened the day higher. The Nifty Midcap surged 280 points to 57,909.
“The anticipated volatility having unfolded without penetrating 24,850 on Friday, we will open today expecting renewed attempts to push higher. However, an inability to float above 25,115 after initial positivity, or a direct fall below 24,740, could spark a 23,860 plunge. This, though, is not expected today. However, a free move up is less expected, either,” said Anand James, Chief Market Strategist at Geojit Investments.
“Fed chief Powell’s remark at Jackson Hole that ‘there is a downside risk to unemployment and shifting risk balance may warrant policy adjustment’ clearly indicates a rate cut in September. The US stock market gave a thumbs-up to this comment. This positive factor may not get reflected in the Indian market since tariff concerns are likely to weigh more,” said VK Vijayakumar, Chief Investment Strategist at Geojit Investments.
Let’s take a look at the key factors to watch out for today’s trading session
Early gainers and laggards
In early trade, among the Nifty 50, top gainers at this hour were Wipro, Infosys, Tech Mahindra, TCS, and HCL Technologies. On the flip side, the key laggards in the Nifty 50 pack included ICICI Bank, Bharti Airtel, Zomato (Eternal), Eicher Motors, and Apollo Hospitals.
Major movers on Monday
The stocks that remained under pressure included Infosys, Reliance Industries, TCS, Bajaj Finance, and HCL Technologies, which were the major movers in the morning trade.
Powell’s Jackson Hole Signal
At the Jackson Hole gathering, US Fed Chair Jerome Powell suggested that the central bank could consider cutting interest rates as early as September, though he cautioned that the final call would depend on upcoming data on inflation and jobs. While he left the door open for easing, Powell also reminded markets that inflation risks are not fully behind.