Indian Markets Open Cautiously as Nifty Holds Near 24,000 Amid Crude and Bond Yield Pressures

Indian equity markets opened cautiously on Friday, with the Nifty 50 starting at 24,284.05 and the Sensex opening at 77,701.07. By early trade, the Nifty slipped slightly to 24,230.65, while the Sensex traded lower at 77,532.70. The muted open followed a recovery session on Thursday, during which the Nifty gained 154 points and the Sensex rose 628 points to snap a seven-session losing streak.

Market analysts have warned that the recent recovery remains fragile due to external pressures. Brent crude approaching $94 per barrel and rising US bond yields continue to weigh on investor sentiment. Dr V K Vijayakumar, Chief Investment Strategist at Geojit Investments, noted that Thursday's market rally is unlikely to sustain given these latest macro headwinds. He added that ongoing weakness in large-cap stocks could further constrain a broader market rally.

Among Nifty 50 gainers in early trade, Eternal led with a 0.75 per cent rise to ₹330.40 on volumes of over 2.5 million shares. NTPC added 0.53 per cent to ₹339.30, Shriram Finance gained 0.52 per cent to ₹1,134.10, Power Grid rose 0.49 per cent to ₹266.10, and TMPV edged up 0.45 per cent to ₹321.70. Conversely, TCS emerged as the steepest decliner, dropping 1 per cent to ₹2,275.10. Infosys fell 0.80 per cent to ₹1,121.00, HDFC Life slipped 0.61 per cent to ₹538.70, Bajaj Auto shed 0.60 per cent to ₹11,722.00, and JSW Steel declined 0.55 per cent to ₹1,292.60.

The drag in Indian IT stocks reflected broader market pressures from rising US Treasury yields. Wall Street experienced a sharp overnight decline, with the S&P 500 falling 0.87 per cent and the Nasdaq losing 1 per cent. US Treasury Secretary Scott Bessent indicated that the government could increase buybacks of long-term debt to stabilize markets. Meanwhile, Walmart reported its weakest sales growth in over six years, adding to consumer discretionary sector gloom despite beating revenue expectations.

Crude oil prices also hit one-month highs after geopolitical developments involving Iran pushed WTI into the $86–$87 per barrel range. Enrich Money CEO Ponmudi R noted that crude oil remains a key risk factor for Indian equities. On the domestic institutional front, foreign institutional investors remained net sellers on Thursday, offloading equities worth ₹583 crore, while domestic institutional investors acted as a cushion by buying equities worth ₹3,537 crore. The Indian rupee appreciated by 5 paise to close at 95.7.

Technically, analysts view the 24,000–24,050 band as critical support. Devarsh Vakil, Head of Prime Research at HDFC Securities, stated that sustained buying above 24,375 will be crucial to negate the prevailing short-term downtrend. Resistance is pegged between 24,300 and 24,500, with Kotak Securities placing the 50-day SMA support at 24,150. India VIX eased to 10.75, while the Put-Call Ratio improved to 1.10, signaling a steadier derivatives setup as markets monitor geopolitical developments and crude trajectories.

"The current market behavior highlights the delicate balance between domestic institutional support and external macroeconomic pressures. While domestic buying provides a vital cushion, factors like rising crude prices and US bond yields introduce volatility that entrepreneurs and investors must factor into their financial planning. In an interconnected global economy, local market resilience is constantly tested by geopolitical developments and currency fluctuations, making risk management essential for businesses navigating capital markets." — Dr. Shishir Gupta, Founder & CEO, StartupLanes