Indian equity markets opened on a cautious and somewhat weak note on Thursday morning, with both the benchmark Sensex and Nifty 50 slipping into the red right after the opening bell. Trading began with selling pressure extending from the prior session, particularly in information technology stocks, which continued to lag and dragged the broader market lower.
Early figures showed the Nifty trading below its recent levels and the Sensex also posting a notable early decline, reflecting caution among investors. The selling was broad-based, with most major sectors participating, although there were pockets of strength in select names where company-specific news helped support prices.
The mood at the open contrasted with some of the pre-market indicators that had suggested a largely flat start based on futures and Asian market cues, showing how sentiment can quickly shift when actual trading begins. Mixed global influences and uncertainty over near-term interest rate expectations abroad appeared to weigh on risk appetite, contributing to an early decline here at home.
"As expected, the markets opened on a flat to mildly negative note and are trading with a weak bias, as sharp selling in IT stocks weighs on the benchmarks. Heavyweights such as Infosys, TCS, HCL Tech, Wipro and Tech Mahindra are trading sharply lower, exerting early pressure on thbe indices and tempering broader sentiment," said R Ponmudi, CEO at brokerage and tech wealth firm Enrich Money.
Beyond the headline indices, trading activity suggested that investors were still digesting recent gains from the past few sessions. In the run-up to Thursday’s open, markets had shown resilience with intermittent foreign inflows and strong moves in some heavyweight counters, but the early weakness pointed to profit-taking and hesitation around extending positions without fresh positive catalysts.
At the same time, a number of companies are scheduled to report quarterly results throughout the day, and this earnings calendar is expected to inject some volatility as traders reposition based on the latest corporate performance.
Currency markets showed a mild upside bias for the rupee, which was expected to open a touch stronger against the U.S. dollar, though this did not translate into confidence in equities at the start. Overall, Thursday’s early trend was defined by slippage rather than strength, with investors appearing watchful and cautious ahead of key data releases and stock results that could provide clearer direction later in the trading session.