The Indian stock market experienced a slightly negative opening on May 30, 2025, with both the Sensex and Nifty indices showing initial dips, despite positive cues from FPI (Foreign Portfolio Investors) inflows and expectations of continued economic growth.

Market Opening Scenario

Early trading saw the BSE Sensex down by approximately 100 to 187 points. Specifically, the Sensex was down 150 points at 81,482 and 187.87 points at 81,445.15 as of 9:18-9:19 am. The NSE Nifty also mirrored this trend, dropping around 27 points, with the index recorded at 24,806 and 24,805.75 at the same time.

Mixed Sectoral Trends

Sectoral indices reflected mixed sentiments at the opening. While some sectors showed resilience, others succumbed to the early market pressure. This divergence indicated a cautious approach among investors, possibly awaiting further cues from economic data and global market movements.

FPI and DII Activity

Despite the tepid market opening, data indicated strong support from foreign portfolio investors (FPIs), with net inflows of ₹8.84 billion on the previous day and a total of $2.6 billion so far in May. This figure marks the highest monthly tally since September 2024, signaling sustained confidence from overseas investors. Domestic institutional investors (DIIs) also maintained a buying streak for eight consecutive sessions, further underpinning market stability.

Factors Influencing Market Sentiment

Several factors are currently shaping investor sentiment. Expectations of accelerated GDP growth and the anticipation of a potential rate cut by the Reserve Bank of India (RBI) in the upcoming week are providing a cushion against steeper declines. However, weak global cues and a U.S. court ruling temporarily reinstating Trump-era tariffs have introduced an element of caution.

Analysts' Perspectives

Analysts suggest that the Nifty 50 formed a "Long-Legged Doji" pattern, reflecting indecision in the market. Open Interest (OI) data reveals a strong resistance level for Nifty at 24,900 and 25,000 strike prices on the call side, while the put side shows significant OI build-up at 24,800 and 24,700, marking these as key support zones.

Shrikant Chouhan from Kotak Securities noted that 81,200 and 80,900 would serve as crucial support zones for the Sensex. Sustaining above these levels could potentially drive the index towards 82,200 – 82,600. However, a break below 80,900 might shift market sentiment negatively, prompting traders to reduce long positions.

Bajaj Broking Research anticipates the Nifty index to maintain a positive bias, targeting 25,200 - 25,300 levels in the near future. Immediate support is expected around 24,700 - 24,650.

Suzlon Energy's Upward Surge

bucked the negative opening trend, with shares soaring by approximately 12%-13.60% in early morning trade. This surge followed the company's announcement of a robust performance in the March quarter, featuring a 364% year-on-year jump in net profit. The company's net profit for the quarter stood at ₹1,181 crore, compared to ₹254 crore in the same period last year, with revenue from operations increasing by 73% to ₹3,774 crore.

The company's strong Q4 performance also led to upward revisions in target prices from various brokerages. Nuvama Institutional Equities revised its target price to Rs 68 from Rs 61, while Motilal Oswal Financial Services (MOFSL) highlighted that Suzlon's deliveries and EBITDA exceeded their expectations by 15% and 38%, respectively.

Global Influences

Asian markets displayed a negative trend, influenced by concerns stemming from the U.S. court ruling on Trump's tariffs. Nikkei 225 fell 1.55%, Topix declined 1%, Kospi and Kosdaq slipped 0.4%, and Hang Seng futures also indicated a softer opening.

Conversely, U.S. markets closed positively on Thursday, driven by investor optimism following the reinstatement of Trump-era tariffs. The Dow Jones gained 0.28%, the S&P 500 rose 0.40%, and the Nasdaq Composite added 0.39%.

Concluding Remarks

In summary, the Indian stock market exhibited a cautious opening on May 30, 2025, influenced by a combination of domestic and global factors. While the Sensex and Nifty experienced initial declines, strong FPI and DII support, coupled with expectations of economic growth, provided some stability. Suzlon Energy stood out as a notable gainer, propelled by its impressive Q4 results and positive outlook. Market participants are likely to closely monitor economic data releases, global cues, and policy announcements in the coming sessions to gauge future market direction.