Indian Stock Markets Open Flat as Expiry Date Approaches, Experts Remain Optimistic
Mumbai (Maharashtra) [India], September 25: Indian stock markets opened flat on Wednesday as the monthly and quarterly expiry date approaches. Despite this, experts noted that the markets are still in bull mode.
Market Opening
The Nifty 50 index opened at 25,899.45 points, dipping by 40.95 points or 0.16 per cent. Similarly, the BSE Sensex index declined by 77 points to 84,836.45 points, down by 0.09 per cent.
Expert Opinions
Ajay Bagga, a Banking and Market Expert, said, “Given the monthly/quarterly expiry on Thursday, we expect volatile, flat markets in India as the September series ends with markets near to or at all-time highs. The next catalyst for markets will be the US PCE data on Friday and the September US jobs report that will be out on October 4th. Post that, the RBI MPC decision on Oct 9th will be key for Indian markets trajectory. For now, we remain fully invested and counsel regular investment at every dip as we see a decades long bull market in India ahead.”
Sectoral Indices
In the sectoral indices on the National Stock Exchange, the Nifty metal index emerged as the leader in gains with a surge of 0.84 per cent at the opening session. Meanwhile, the Nifty Bank, Nifty Auto, and Nifty IT opened with a marginal dip. In the Nifty 50 list, 23 stocks opened with advances, while 18 shares declined in the opening session.
Additional Insights
V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, stated, “The gush of domestic liquidity, which is the main driving force behind the rally in India, is likely to keep the market resilient. If Nifty is to go past 26000 decisively and sustain there, it has to be led by the Bank Nifty. There is more steam in this segment.” He also mentioned that Chinese monetary stimulus measures lifted the Chinese and Hong Kong markets, and if the rally continues, it is possible that Foreign Institutional Investors (FIIs) will move more funds to invest in these markets. In India, metal stocks rallied in response to the Chinese stimulus measures.
Asian Markets
In the Asian markets on Wednesday, Japan’s Nikkei index was up with marginal gains of 0.07 per cent, while Hong Kong’s Hang Seng rallied by 2.03 per cent. Taiwan’s index surged by 1.30 per cent, and South Korea’s markets were flat at the time of filing this report.
Doubts Revealed
Stock Markets -: Stock markets are places where people buy and sell shares of companies. In India, the main stock markets are the BSE (Bombay Stock Exchange) and NSE (National Stock Exchange).
Flat -: When stock markets open ‘flat’, it means there is very little change in the prices of shares compared to the previous day.
Expiry Date -: The expiry date in stock markets is the last day when certain financial contracts, like options and futures, can be traded. After this date, these contracts expire and can’t be used anymore.
Nifty 50 -: The Nifty 50 is an index that shows the performance of the top 50 companies listed on the National Stock Exchange (NSE) of India.
BSE Sensex -: The BSE Sensex is an index that shows the performance of the top 30 companies listed on the Bombay Stock Exchange (BSE) of India.
Ajay Bagga -: Ajay Bagga is a financial expert who gives advice on stock markets and investments.
V K Vijayakumar -: V K Vijayakumar is another financial expert who provides insights and advice on the stock markets.
Domestic Liquidity -: Domestic liquidity refers to the amount of money available within a country for investments and spending.
US Economic Data -: US economic data includes information about the economy of the United States, like job numbers, inflation rates, and GDP. This data can affect stock markets around the world.
Nifty Metal Index -: The Nifty Metal Index is a group of metal companies listed on the NSE. It shows how well these companies are performing.
Sectoral Indices -: Sectoral indices are groups of companies from the same industry, like banking or technology, that show how well that industry is doing in the stock market.
Asian Markets -: Asian markets refer to stock markets in Asian countries like Japan, China, Hong Kong, and Taiwan.
Hong Kong -: Hong Kong is a city and special administrative region of China, known for its strong economy and stock market.
Taiwan -: Taiwan is an island nation in East Asia with a growing economy and an active stock market.
