Markets Open Lower After Fed Rate Hike; Indices Recover Some Ground
What Happened
Indian markets opened in the red following the US Federal Reserve's surprise rate hike and continued foreign investor selling. The Sensex opened at 74,182.62, down 153.8 points (-0.2%), while the Nifty opened at 23,195.25, down 22.3 points (-0.1%). As of around 10:30 AM IST, the market had recovered part of its losses: Nifty 50: 23,276.95 (+0.26%) Sensex: 74,781.76 (-0.16%) Bank Nifty: 56,337.7 (+0.08%) Early strength was seen in BEL, M&M, Axis Bank, ITC and L&T, while TCS, Infosys and HCL Tech remained under pressure.
Key Takeaways
Markets are trading cautiously after the Fed's rate hike raised concerns about global liquidity and FII flows. Domestic institutional buying is helping cushion the downside, but IT stocks remain weak. The market mood is cautiously positive after an initially weak opening, with investors watching global interest rates and foreign fund flows closely.