Mumbai, Aug 7 (IANS) Domestic equity markets open on mildly negative note on Friday amid surge in crude oil prices and following global cues ahead of key US economic data.
Sensex opened at 78,516.08, down 438.68 points or 0.56 per cent, while Nifty decreased by 97.10 points or 0.39 per cent to 24,538.90.
Sector-wise, financials, banking and cement shares were in selling pressure in early trade as Nifty Financial Services Ex-Bank, Nifty Cement, Nifty PSU Bank and Nifty Private Bank declined up to 1 per cent.
In contrast, IT, auto, real estate, FMCG and telecom stocks were gainers. Nifty IT, Nifty MidSmall IT & Telecom, Nifty Auto, Nifty Realty and Nifty FMCG indices surged up to 1.5 per cent.
According to experts, market is consolidating and slowing inching up.
This trend is likely to continue in the near-term preparing for an eventual breakout on the upside. There are some key takeaways from the Q1 results which investors should keep in mind, they added.
The experts highlighted three factors. One, most companies in sectors like financials, automobiles, pharmaceuticals and telecom have delivered double digit revenue and profit growth rates. This has imparted resilience to their stock prices.
Second, IT continued to face headwinds from sluggish growth and concerns surrounding the AI impact on the sector.
Third, in commodities like metals and oil, it has been a mixed bag.
Going forward, financials, automobiles, telecom and capital goods are likely to maintain the growth momentum, the experts said adding that tbroader market has delivered superior growth, but the elevated valuations will constrain their upward momentum.
Meanwhile, crude oil prices have edged higher amid persistent geopolitical tensions.
International benchmark Brent crude jumped more than 1 per cent to $83.83 per barrel, while US West Texas Intermediate (WTI) crude also traded over 1 per cent higher at $78.42.
--IANS
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