India’s stock market inched lower at the open today, as markets paused on thin year-end trading volumes, with analysts saying further upside dependent on earnings momentum.
At 9:50 am, the 30-share S&P BSE Sensex was trading lower by about 0.25% at 85,200 levels even as the broader Nifty 50 was down 0.20% at 26,100 levels.
Most markets, including India, were closed on Thursday for the Christmas holiday. Fourteen of the 16 major sectors logged losses at the open. The broader small-caps and mid-caps fell 0.1% each.
Both Nifty 50 and Sensex hit record highs in November after 14 months, but have remained muted so far in December, shedding about 0.2% and 0.4%, respectively.
While the medium-term structural outlook for India’s stock market remains constructive, thin liquidity conditions and lower volumes are likely to cap sharp directional moves in the near term, analysts say.