Sensex: As the US Fed lowers interest rates, the Nifty become erratic at opening

Sensex: Despite the US Federal Reserve’s announcement on Wednesday of a 25-basis-point rate drop, Indian stock markets began on a tumultuous note on Thursday, fluctuating between gains and losses.

After starting the day marginally higher, the Sensex quickly fell into the red and was down 79 points, or 0.09 percent, at 84,312 in early trading. Additionally, the Nifty lost its early gains, slipping 8 points, or 0.03 percent, to 25,750.

Among the first companies to rise to 1.1% on the Sensex were Infosys, Eternal, Tata Steel, Maruti Suzuki, Adani Ports, HCL Tech, SBI, TCS, L&T, and Tech Mahindra. However, the market was pulled by modest losses by Titan, Power Grid, Bharti Airtel, NTPC, Asian Paints, ITC, Reliance Industries, Bajaj Finserv, and ICICI Bank.

The Nifty SmallCap index fell 0.32 percent while the Nifty MidCap index fell 0.17 percent in the overall market.

The Nifty IT index increased by 0.70 percent, indicating that IT equities were the sector with the most gains. The Nifty PSU Bank index, which was up 0.65%, the Nifty Metal index, which was up 0.4%, and the Nifty Auto index, which was up 0.12%, came next.

However, the Nifty FMCG index fell by 0.26 percent as a result of pressure on FMCG firms.

According to analysts, while investors evaluated the effects of the Fed’s most recent rate decrease on capital flows and economic growth, local markets warily followed global signals.