Stock Market Update: Nifty Movement Influenced by Global Tensions and India VIX, Gold and Silver Prices

Indian Stock Market Plunges Amid Global Uncertainty

The Indian stock market witnessed a significant decline on Thursday, with the Nifty 50 index plummeting 775 points to close at 23,002. The BSE Sensex also nosedived 2,496 points, closing at 74,207. The Bank Nifty index tumbled 1,875 points to close at 53,451.

The decline was broad-based, with all sectors ending in the red, reflecting widespread market weakness. The auto, real estate, and financial sectors emerged as key laggards. The midcap and smallcap indices also fell around 3% each.

The sharp rise in crude oil prices, driven by escalating tensions in the Middle East and concerns over supply disruptions, weighed heavily on market sentiment. The US Federal Reserve's hawkish stance and continued foreign institutional investor outflows also contributed to the decline.

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Gift Nifty futures opened upside, oscillating around 23,150, showing a gain of around 150 points from Thursday's close. Hariprasad K, Founder of Livelong Wealth, expects Indian equities to open on a flat to mildly positive note, with early indications from Gift Nifty hovering around 23,150.

In the global markets, the MSCI Asia Pacific Index rose 0.3% after losing 2.6% in the last session. The S&P 500 futures also gained after the underlying benchmark finished the last session down 0.3%. Brent crude opened lower on Friday, but has shown signs of moderation following reassuring commentary from US policymakers.

Gold and silver rates saw some value buying in early-morning Asian trade, with COMEX gold and silver rates oscillating around $4,665 per ounce and $73.913 per ounce, respectively.

Volatility remains a key concern for market participants, with India VIX continuing to trade above 22. FIIs remained net sellers on Thursday, offloading Indian shares worth ₹7,558 crore. DIIs remained net buyers, buying shares worth ₹5,111 crore.

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