Indian Stock Markets See Modest Gains Amid FII Selling Pressure

Indian stock markets opened the week with slight gains despite ongoing foreign institutional investor (FII) selling pressures. Nifty 50 and BSE Sensex indices recorded minor upward movements. Market volatility is expected to rise due to upcoming US elections and monthly expiry week considerations.

In a fresh trading week, Indian stock markets exhibited modest gains as the Nifty 50 index climbed by 70.30 points to open at 24,251.10, marking a 0.29% rise, while the BSE Sensex surged by 251.38 points, opening at 79,653.67, equivalent to a 0.32% increase.

Market analysts have pointed out that volatility is anticipated to escalate, driven by persistent foreign institutional investor (FII) selling pressure. Ajay Bagga, a Banking and Market Expert, highlighted the ongoing FII sell-off, mentioning that in October 2024, net sales by FIIs reached a staggering Rs 102,000 crores in secondary markets, with only Rs 17,000 crores being invested in primary markets.

Adding to the uncertainty, the approaching US elections on November 5th are expected to heighten market fluctuations, as outcomes are projected to hinge on a narrow margin in key swing states. Sectoral indices portrayed a mixed picture, with gains observed across all indices except Nifty IT, which dipped by 0.6%, while Nifty Financial Services posted a 0.6% gain.

Among individual stocks, ICICI Bank emerged as the top gainer, buoyed by positive quarterly results. Conversely, JSW Steel was identified as the biggest loser in Nifty 50. Key companies such as Bharti Airtel and Sun Pharma are poised to release their second-quarter financial results today.

Elsewhere in Asia, Japan's Nikkei index saw a notable increase of 1.43%. Meanwhile, Hong Kong's Hang Seng and Taiwan's Weighted indices experienced slight declines, and South Korea's KOSPI index rose by 0.86%.

(With inputs from agencies.)