Market Wrap-Up: Sensex and Nifty Close Unchanged; Wider Indices Dip 1%; Titan Dives 7%

Sensex and Nifty Recap:

Indian equity markets kicked off the week on a positive note, buoyed by robust global cues, but eventually settled with negligible changes amid a sell-off in financial stocks.

The S&P BSE Sensex concluded at 73,896, edging up by 17 points or 0.02%, while the Nifty 50 wrapped up at 22,443, slipping by 33 points or 0.15%.

In broader markets, the BSE MidCap and SmallCap gauges saw declines of 0.95% and 1%, respectively.

India VIX, the volatility gauge, spiked by nearly 14%.

Sector-wise, the Nifty PSU Bank index slumped by 3.66%, the Nifty Consumer Durables by 2.5%, and the Nifty Media by 2.16%. Conversely, the Nifty Realty index surged by almost 2.7%.

Expert Insight:

Dr. V K Vijayakumar of Geojit Financial pointed out that the weaker-than-expected US jobs data for April signals a softening labor market and a slower economy, possibly prompting a rate cut by the Fed. He noted the positive impact of a lower dollar index and a reduced 10-year US bond yield, highlighting Warren Buffett’s optimistic view on India’s untapped market potential as significant for foreign institutional investors.

Global Market Trends:

Asian stocks registered gains on Monday as investors anticipated potential rate cuts by the Federal Reserve later in the year. The yen witnessed a decline after a recent surge attributed to suspected currency intervention by Tokyo.

Wall Street rallied on the back of a less-than-expected employment report, reinforcing expectations for future rate cuts by the Federal Reserve and demonstrating the resilience of the US economy.