Sensex, Nifty open marginally higher tracking positive cues from global peers
Sensex and Nifty opened marginally higher on Wednesday, tracking global peers, after softer U.S. producer prices data reinforced bets of an interest rate cut by the Federal Reserve in September.
The BSE Sensex was trading 88 points, or 0.11%, higher at 79,042. The Nifty50 was up 27 points, or 0.11%, trading at 24,166 around 9:12 am.
U.S. producer prices increased less than expected in July as the cost of services fell by the most in nearly 1-1/2 years amid signs of diminishing pricing power for businesses, evidence of waning inflation pressures that reinforced hopes of an interest rate cut next month.
Traders see about a 53% chance of a 50-basis-point Fed rate cut in September, rising from 50% a day before, according to CME FedWatch Tool.
The U.S. consumer price data for July, due after Indian market hours, is the next major data point that investors will closely watch.
From Sensex stocks, HCL Tech, M&M, Tata Motors, SBI, Tech Mahindra, and Bharti Airtel opened with gains, while UltraTech Cement, ICICI Bank, Adani Ports, Nestle, and Axis Bank opened with cuts.
Sector-wise, Nifty IT rose 0.6% after favorable U.S. producer price data. Nifty Auto, Consumer Durables, and Oil & Gas also surged, while Bank, Financial Services, FMCG, Pharma, and Realty sectors declined.
Among individual stocks, Nykaa rose 6% in early trade after the company's consolidated net profit jumped 152% year-on-year to Rs 13.6 core in Q1 FY25.
Piramal Enterprises shares fell over 7% after the company reported a 64% YoY decline in its June
