Sensex, Nifty Open Lower Amid Rupee Weakness and FII Outflows.
Benchmark Indian indices opened lower on Thursday, as market sentiment was subdued due to the falling rupee and continued foreign institutional investor (FII) outflows.
The S&P BSE Sensex recovered to 85,216.95, up 110.14 points, while the NSE Nifty 50 rose 41.15 points to 26,027.15 as of 9:39 am.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments, noted that the market is navigating two opposing forces. “The sharp rupee depreciation of over 5% and RBI’s non-interventionist stance have triggered sustained FII selling, pulling the Nifty down by 340 points from its recent record high,” he said.
On the positive side, India’s strong fundamentals—robust economic growth, low inflation, supportive monetary and fiscal policies, and improving corporate earnings—are likely to dominate in the medium term. Dr. Vijayakumar added that this near-term currency-induced weakness presents long-term investors an opportunity to accumulate quality large- and mid-cap stocks.
Comments are closed.