Nifty, Sensex steady at open; IT stocks drag while metals and FMCG gain

Domestic equities range-bound as global uncertainty weighs on sentiment. Representational Image

Domestic equity markets opened flat on Wednesday amid mixed global cues and a decline in oil prices.

Sensex was trading at 74,567, up 8 points or 0.01 per cent, while the Nifty was at 23,387, gaining 8 points or 0.03 per cent. Earlier in the day, the benchmark indices opened at 74,439.34 and 23,362.45, respectively.

Among sectoral indices, Nifty IT and Nifty Media were the top losers, while Nifty Metal, Nifty FMCG and Nifty Chemicals emerged as the top gainers.

Eicher Motors, Power Grid, NTPC, Infosys, Dr Reddy's Laboratories, Axis Bank and Bajaj Finance were among the top laggards in the Nifty pack.

Category-wise, microcap and smallcap stocks were the top gainers. Meanwhile, the volatility index India VIX declined 0.82 per cent to 19.12.

Market experts said investor sentiment remained cautious amid concerns over the prolonged West Asia crisis and pressure on India's macroeconomic indicators.

Analysts added that foreign institutional investors (FIIs) may continue to remain sellers in the market, while investors are likely to prefer defensive sectors such as pharmaceuticals amid prevailing uncertainty.

They also advised long-term investors to gradually accumulate quality banking stocks on market declines.

In commodities, international oil benchmark Brent crude declined 1.31 per cent to USD 106.35 per barrel, while US West Texas Intermediate (WTI) crude fell 1.37 per cent to USD 100 per barrel.

In Asian markets, Japan's Nikkei was trading 0.5 per cent higher at 63,085, while Hong Kong's Hang Seng rose 0.32 per cent to 26,432. South Korea's KOSPI was trading nearly 2 per cent higher at 7,794.81.

In the US, Wall Street witnessed a negative performance overnight, with the S-P 500 closing 0.16 per cent lower at 7,400.96, while the Nasdaq settled 0.71 per cent down at 26,088.20.

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