FIRST TRADE: Indicators open below; Nifty down at 24,416, Sensex down 140 points
Indian shares started Thursday’s session lower after Donald Trump’s historic win as Wall Street marked record highs in the overnight session. At the open, the Sensex was down 0.17 percent or 140.44 points at 80,237.69, while the Nifty was down 0.28 percent or 68.2 points at 24,415.85. This calls for caution as FIIs continue to offload their assets to Indian stocks.
Sector-wise, except IT and media indices, all other 11 major indices traded in the red after the previous day’s gains across the board. Stocks of metal and financial resources, however, led to losses of up to 1 percent.
From the Nifty pack the top gainers included stocks like Apollo Hospitals, Tata Steel, HCL Technologies, Coal India and TCS, while the laggards included stocks like Hindalco, Power Grid, -Adani Enterprises, Bharat Electronics and Bajaj Finserv.
Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services said, “Trump’s victory seems likely to be more transformative than ever before. In the office, major transformational decisions are likely to take place in the months following Trump’s inauguration. These decisions may be good or bad.
His ‘America First’ business initiative could strengthen the American economy. But if he talks and imposes a 60% tariff on Chinese imports and a 10 to 20% tariff on imports, that would cause inflation and jeopardize the Fed’s policy of containing inflation, necessitating a rethinking of current policy of the Fed. to cut. This has the potential to have a negative impact on global stock markets, he added.
Asian markets
Asian markets traded mixed with losses in Japan’s Nikkei, while Singapore’s Straits Times and Hong Kong’s Hang Seng rose 2 percent as focus on the US FOMC meeting and more stimulus measures from the China.
