3 weeks ago
Indian equity markets open flat as crude oil prices surge
A stock market is a place where people buy and sell tiny pieces of companies.
On Tuesday, India's stock markets started the day almost completely flat, meaning very little changed.
One reason was that the price of crude oil went up.
When oil gets more expensive, it can cost companies more to run their businesses.
Some groups of companies, like those selling software and household goods, saw small gains.
Banking companies, on the other hand, saw their shares fall a little.
Experts said strong company earnings and a steady rupee are helping keep the market calm.
In Asia, Japan's and South Korea's markets rose, while Hong Kong's fell slightly.
Overall, it was a quiet start with mixed feelings among investors.
India's Sensex opened 32.67 points lower at 78,509.77 and Nifty fell 8.70 points to 24,575.10 on Tuesday.
IT, consumer durables, telecom, real estate, auto and pharmaceutical stocks gained, while banking shares declined.
Brent crude rose 0.41% to $88.08 a barrel and US WTI crude gained 0.47% to $82.52, weighing on sentiment.
Analysts said better-than-expected June-quarter earnings, rupee stability and foreign investor buying support the market.
Asian markets were mixed: Japan's Nikkei rose about 2% and South Korea's KOSPI gained over 1%, while Hong Kong's Hang Seng fell 0.6%.
- Who
- Indian equity investors and market analysts tracking the Sensex and Nifty.
- What
- Domestic equity markets opened flat after a surge in crude oil prices, with gains in IT and consumer durables offset by weakness in banking stocks.
- Where
- India, with early trading also reflected in Asian markets including Japan, South Korea and Hong Kong.
- When
- Tuesday, after US equities ended marginally lower on Monday.
- Why
- Rising crude oil prices acted as an irritant for equities, while better-than-expected June-quarter earnings, rupee stability and foreign investor inflows provided support.
Key facts
- Sensex opening
- 78,509.77 (down 32.67 points, or 0.04%)
- Nifty opening
- 24,575.10 (down 8.70 points, or 0.04%)
- Brent crude
- $88.08 a barrel (up 0.41%)
- US WTI crude
- $82.52 a barrel (up 0.47%)
- Top sector gainer
- Nifty MidSmall IT & Telecom (+0.73%)
- Top sector laggard
- Nifty Private Bank (-0.64%)
- Nifty support zone
- 24,400-24,450
- Nifty resistance zone
- 24,750-24,800
Quotes
Market experts
Financial market analysts
“Rising Brent crude price continues to be an irritant for the market even as other fundamentals exhibit strength”
thehansindia.com










