Mumbai, July 28: Indian benchmark indices opened on a subdued note on Tuesday, tracking weak cues from Asian markets and a global selloff in semiconductor stocks that kept investor sentiment cautious. While the Sensex and Nifty traded marginally lower in early trade, strength in IT stocks helped cushion the downside.
The Nifty IT index rose 2 per cent to emerge as the top sectoral gainer, supported by advances in realty, healthcare, and pharmaceutical stocks. Meanwhile, oil & gas and PSU banking stocks remained under pressure, weighing on the broader market.
Investor sentiment was dented by a sharp decline in global semiconductor shares following the blockbuster debut of China’s ChangXin Memory Technologies (CXMT), which intensified concerns over rising competition in the global memory chip industry.
Despite the cautious opening, analysts said the market’s near-term outlook remains constructive after the Nifty rebounded more than 400 points from its recent low of 23,606. They identified 23,606 as a key technical support level, while a sustained move above 24,200 would be needed to reinforce bullish momentum.
Across Asia, most major markets traded lower, reflecting continued global risk aversion. Overnight, Wall Street ended on a mixed note as weakness in semiconductor stocks weighed on technology shares. Meanwhile, international crude oil prices declined, offering some relief on the inflation front and providing a supportive backdrop for import-dependent economies such as India.
