Stock Market Today, July 30: Indian benchmark equity indices opened lower on Thursday, tracking weak global cues after the US Federal Reserve’s hawkish pause on interest rates and a sharp rise in crude
oil prices. However, gains in information technology stocks helped limit the downside.
At around 9:15 am, the BSE Sensex was down 154.76 points, or 0.20%, at 77,499.84, while the Nifty 50 slipped 38.95 points, or 0.16%, to 24,211.25.
The broader market also traded in the red. Nifty Bank declined 0.46%, Nifty Financial Services lost 0.52%, while midcap and smallcap indices fell up to 0.4%. India VIX edged higher by 0.83%, indicating a slight increase in market volatility.
Among sectoral indices, Nifty IT emerged as the top performer, rising 0.84%, supported by gains in HCLTech, Tech Mahindra, TCS and LTIMindtree. Pharma and Oil & Gas indices also traded marginally higher. On the other hand, Realty fell over 1%, while PSU Bank, Private Bank and Financial Services indices remained under pressure.
Among Sensex stocks, Infosys, HCLTech, Tech Mahindra, TCS, Power Grid and Reliance Industries traded with gains. On the losing side were Asian Paints, Adani Ports, Eternal (Zomato), Bajaj Finance, Axis Bank and ICICI Bank.
Why is the market under pressure?
V K Vijayakumar, chief investment strategist at Geojit Investments, said the Indian market continues to exhibit a breakout structure, but multiple global headwinds are limiting upside.
“The Indian market construct indicates a breakout trend. But the potential breakout is being constrained by many headwinds. The spike in Brent crude to near $90 following the escalation of the US-Iran conflict is a strong headwind,” he said.
He added that the US Federal Reserve’s decision to keep rates unchanged turned out to be negative for equities because it was a 9-3 split decision, indicating that policymakers remain concerned about inflation and that another rate hike could be on the table. The resulting rise in US bond yields triggered a sharp sell-off on Wall Street.
Despite these concerns, Vijayakumar believes India could outperform global peers as foreign institutional investors (FIIs) have turned buyers in July while investors rotate away from Asian semiconductor stocks. He also highlighted the resilience of the Indian economy as a key fundamental support for domestic equities.
Global cues remain mixed
Asian markets traded mixed after the Federal Reserve held rates steady but signalled a more hawkish stance, leaving investors uncertain about the future interest rate path. Brent crude eased below $90 per barrel after surging more than 7% in the previous session as geopolitical tensions in the Middle East intensified.
Japan’s Nikkei traded higher, while South Korea’s Kospi remained under pressure amid continued weakness in chip stocks. US futures recovered modestly after overnight losses, with investors continuing to assess the impact of higher bond yields, elevated geopolitical risks and uncertainty surrounding artificial intelligence spending.
