Indian stock markets opened on a positive note today, with both the Sensex and Nifty showing upward movement. The Sensex, the benchmark index of the Bombay Stock Exchange (BSE), jumped over 200 points in early trading. The Nifty 50, the National Stock Exchange's (NSE) primary index, surpassed the 25,900 mark.
Market Drivers and Global Cues
The positive sentiment in the Indian market mirrors gains in Asian markets, fueled by expectations of potential interest rate cuts by the US Federal Reserve. The GIFT Nifty also indicated a positive start for the Indian benchmark index, trading around 26,159, a premium of nearly 104 points from the Nifty futures' previous close.
However, investors should remain cautious as the domestic market has recently experienced volatility due to a weakening rupee and consistent outflows from Foreign Institutional Investors (FIIs).
Sectoral Performance
Among individual stocks, Maruti Suzuki India Limited (MRTI) is showing notable activity. The stock is currently trading at ₹15,889.00 on the NSE, a decrease of -0.43% in the past 24 hours. Despite this slight dip, Maruti has demonstrated strong performance over the past year, delivering a 45.10% change, with its 52-week range fluctuating between ₹10,725.00 and ₹16,660.00. Earlier today, the stock traded between ₹15,842.00 and ₹16,050.00.
Longer-term analysis reveals Maruti's consistent growth, with three-year returns at 76.15% compared to the Sensex's 35.79%. The company's five-year returns stand at 125.14% versus the Sensex's 93.00%, and a decade-long return of 242.27% compared to the Sensex's 228.17%.
Expert Views and Trading Strategies
Shrikant Chouhan, Head of Equity Research at Kotak Securities, noted that the 85,000-85,200 zone remains a key resistance area for the Sensex. He suggests a weak sentiment will likely persist as long as the Sensex trades below this level, with 84,300 acting as immediate support. A successful breakout above 85,200 could potentially drive the Sensex towards 85,500-85,700.
Amruta Shinde, Technical & Derivative Analyst at Choice Equity Broking, pointed to strong call writing at the 26,000 strike for the Nifty, with maximum put open interest at 25,800, indicating firm demand at lower levels. A sustained close above 26,000 is crucial to revive bullish momentum.
Key Levels to Watch
- Sensex: Key resistance at 85,000-85,200, immediate support at 84,300
- Nifty 50: Strong call writing at 26,000, firm demand at 25,800
- Bank Nifty: Immediate support near 58,580, strong hurdle at 59,440
Maruti Suzuki's Performance and Future Outlook
Maruti Suzuki's earnings for the last quarter were ₹104.70 per share, below the estimated ₹116.37, resulting in a -10.03% surprise. However, revenue for the same period amounted to ₹421.01 billion, exceeding the estimated ₹396.67 billion. The company is focused on expanding its production capacity to approximately 4 million units by FY2030-31, with emphasis on exports and the development of multiple powertrain technologies, including electric vehicles and biofuels.
Disclaimer: This article is for informational purposes only and should not be considered financial advice. Please consult with a qualified financial advisor before making any investment decisions.
