Indian benchmark indices, BSE Sensex and Nifty50, were trading with slight gains amid volatile conditions on Friday, January 10, 2025. As of 12 PM, the Sensex was up 97.73 points, or 0.13%, at 77,717.94, and the Nifty50 advanced marginally by 2.15 points, or 0.01%, at 23,528.65. Notable stocks like TCS, Tech Mahindra, and Infosys supported the market, while stocks like NTPC and IndusInd Bank dragged the indices down.
Sectors witnessed mixed trends, with the IT index rising by 2%, while the Media, PSU Bank, and Pharma indices saw declines. The broader markets also reflected the volatility, with the Nifty Midcap 100 and Nifty Smallcap 100 indices shedding 1.77% and 1.36%, respectively.
Globally, concerns over inflation, rising Treasury yields in the US, and financial troubles in the UK weighed on investor sentiment. The Indian markets were further pressured by continued foreign institutional investor (FII) selling, which has been a recurring theme in recent sessions. Despite this, domestic institutional investors (DIIs) provided some counterbalance, with net buying of shares worth Rs 7,639.63 crore.
Looking forward, investors are closely watching earnings reports for Q3FY25, with TCS being one of the first to report strong growth in its net profit. Additionally, the Indian economy is projected to grow by 6.6% in 2025, supported by private consumption and investment growth, according to the UN's World Economic Situation and Prospects report.
On the currency front, the Indian rupee touched a fresh low of 85.94 against the dollar before recovering slightly to close at 85.86, showing a depreciation bias. Meanwhile, corporate fundraising and equity mutual fund inflows were at record highs, with the latter seeing a 144% increase from the previous year.
Globally, US Treasury yields retreated from eight-month highs, and concerns about the UK's financial outlook caused further pressure on the pound. In Asia-Pacific markets, Japan's Nikkei and South Korea's Kospi ended in the red, while China's Shanghai Composite posted slight gains. Oil prices rose due to cold weather boosting demand, while gold prices reached near four-week highs.
