Indian benchmark indices opened lower on Wednesday due to rising global bond yields and uncertainty in the Iran conflict, with the Nifty 50 declining 0.22% to 23,566.05 and the Sensex falling 0.27% to 74,996.58 as of 11:20 IST. According to reports from LiveMint, Asian stock markets declined for the fourth straight session as investors remained wary ahead of earnings reports from AI chipmaker Nvidia, amid concerns about rising global borrowing costs. Government bond yields in both the US and Japan reached levels not seen in decades, driven by high crude oil prices and the ongoing conflict in Iran, which have heightened global inflation concerns.
The rupee slipped to 96.8650 against the US dollar, breaching its previous lifetime low of 96.6150 touched in the prior session. As reported by LiveMint, the currency has now weakened by nearly 6% since the Iran war began on 28 February. This marks the seventh consecutive session of rupee weakness amid persistent foreign outflows, adding pressure to emerging market assets.
According to LiveMint reports, the Nifty 50 has been consolidating in a broad range of 23,300-23,900, which appears to be a time-wise correction as global factors including rising bond yields, rising Brent Oil Prices, and a depreciating INR weigh on market sentiment. Ruchit Jain, Head - Equity Technical Research, Wealth Management at Motilal Oswal Financial Services, notes that directional moves in the index are expected only on a breakout on either side of this range, with traders advised to focus on stock-specific moves until then.
Jain recommends Siemens Energy India Ltd for short-term trading, suggesting buying the stock at ₹3,280-3,300 with a potential target of around ₹3,600 and a stop loss below ₹3,130. As reported by LiveMint, the stock has recently broken out of a bullish cup-and-handle pattern with the neckline resistance now acting as support. For IPCA Laboratories Ltd, he recommends buying in the range of ₹1,650-1,640 with a potential target of around ₹1,744 and a stop loss below ₹1,600. The pharma sector has shown positive momentum after a consolidation phase of more than 18 months, with IPCA Labs giving a consolidation breakout with rising volumes.
