Cautious Start Expected, Nifty Futures Down Slightly

12 Aug 2024 , 09:07 AM

Indian benchmark indices, Sensex and Nifty 50, are expected to open flat to slightly negative on August 12. Early indicators showed Nifty futures trading at 24,362.5 at 7:00 am IST, suggesting a cautious start to the day.

On August 9, the Indian equity markets rebounded strongly, recovering losses from the previous session with a notable gain of over 1%. The Sensex surged by 819.69 points, or 1.04%, to close at 79,705.91. Similarly, the Nifty rose by 250.50 points, or 1.04%, ending the day at 24,367.50. The broad-based buying across sectors contributed to this positive momentum.

Asian markets began the week on a subdued note, partly due to a holiday in Japan, which limited volatility. Investors are now focused on upcoming key economic data from the U.S. and China, which will offer insights into global growth prospects.

In the U.S., the S&P 500 ended higher on Friday, making up for earlier losses in the week that were triggered by recession fears and the unwinding of yen-funded carry trades. The Dow Jones Industrial Average gained 51.05 points, or 0.13%, closing at 39,497.54. The S&P 500 increased by 24.85 points, or 0.47%, to 5,344.16, while the Nasdaq Composite added 85.28 points, or 0.51%, to finish at 16,745.30.

Foreign institutional investors (FIIs) turned net buyers on August 9, purchasing equities worth ₹406 crore. Meanwhile, domestic institutional investors also remained bullish, buying equities worth ₹3,979 crore on the same day.