The Sensex and Nifty opened flat but in positive territory on Thursday, with investors tracking elevated crude oil prices, geopolitical tensions and the US Federal Reserve’s policy decision after benchmark indices declined in the previous session.
The BSE Sensex opened at 73,340.78, up 94.75 points, or 0.13%. The NSE Nifty 50 stood at 22,729.45, gaining 30.60 points, or 0.13%.
The muted opening followed a volatile session on Wednesday, when the Sensex fell 352.64 points, or 0.48%, to close at 73,246.03. The Nifty declined 50.90 points, or 0.22%, to settle at 22,698.85.
Why are markets in focus?
Selling in heavyweight stocks, particularly Reliance Industries and information technology (IT) companies, dragged benchmark indices lower on Wednesday. Rising crude oil prices and caution ahead of the US Federal Reserve’s policy announcement also weighed on investor sentiment.
Brent crude, the global oil benchmark, had climbed 0.99% to $114.50 per barrel on Wednesday amid concerns over potential supply disruptions following Houthi attacks on Saudi Arabia.
Vinod Nair, head of research at Geojit Investments, said domestic equities remained volatile as a fresh spike in crude oil prices and sharp selling in IT stocks weighed on investor sentiment. He added that investors would watch the US Federal Reserve’s policy guidance for signals on the interest-rate trajectory into December.