Indian Stock Market Opens Flat Amid Global Pressures, Sensex Gains Over 200 Points

Mumbai, October 30 (Daily Kiran) : The Indian stock market opened flat on Friday, October 30, as it faced weak global signals, rising crude oil prices, and renewed geopolitical tensions between the U.S. and Iran. The BSE Sensex rose by 48.65 points to open at 74,199.69, compared to its previous close of 74,151.04. The NSE Nifty 50 also saw a slight increase of 27.75 points, or 0.12 percent, opening at 22,964.50, up from 22,936.75.

During the trading session, the Sensex recorded a gain of 0.27 percent, reaching a high of 74,357.55, while the Nifty 50 climbed 0.25 percent to hit 22,994.70. The Nifty 50 index saw the largest increase from Trent, which gained 5.8 percent. Other notable stocks included Indigo, Sun Pharma, Infosys, Eternal, and TCS. Conversely, Coal India, BEL, and Shriram Finance experienced the most significant declines.

In broader market performance, the Nifty Midcap 100 and Nifty Smallcap 100 indices fell by 0.54 percent and 0.86 percent, respectively. Sector-wise, the Nifty IT and Nifty Pharma sectors rose by over 1 percent, while the Nifty Consumer Durables sector saw the largest decline. Other sectors such as Nifty Metal, Nifty FMCG, Nifty Auto, Nifty PSU Bank, and Nifty Realty also faced downturns.

Market experts noted that disappointing quarterly results from U.S. tech companies and concerns over rising expenditures on artificial intelligence have affected global investor sentiment. This has contributed to pressure in Asian markets as well.

The primary challenge for the market remains the rising crude oil prices, with Brent crude exceeding $117 per barrel. Reports suggest that after the U.S. midterm elections on November 3, military action against Iran may resume, adding to uncertainty in energy markets.

Analysts indicated that foreign institutional investors (FIIs) have reduced selling in recent days, with some buying activity observed. However, the current market structure does not appear conducive to a significant rally.

Additionally, following a forced sell-off of long positions based on margin funding last week, small-cap stocks experienced sharp declines. Some recovery is now evident in that segment, as domestic institutional investors (DIIs) and retail investors are purchasing select growth stocks despite high valuations.

Experts advise investors to keep an eye on large-cap stocks, as the FII sell-off has made shares of several strong companies available at attractive valuations, presenting opportunities for value buying.

On Thursday, FIIs recorded a net selling of ₹943 crore, breaking their streak of two consecutive buying sessions. In contrast, DIIs continued their buying spree for the second day, purchasing shares worth ₹1,924 crore.

In global markets, Asian stock indices remain weak. Following the disappointing results from major U.S. tech companies, enthusiasm for AI-based investment themes has waned. U.S. markets also closed lower after the Federal Reserve decided to maintain interest rates.

In the commodities market, crude oil prices remain elevated. Brent crude traded up over 1 percent at around $113.96 per barrel, while West Texas Intermediate (WTI) hovered around $104.99 per barrel.

Experts believe that if oil prices remain high for an extended period, volatility in Indian markets could increase.