Mumbai – Indian stock markets exhibited little movement on Friday, reflecting a pause in the global equities rally. The Sensex inched upward slightly, while the Nifty tested the 24,800 mark. This stagnation in market performance comes as investors await a crucial address from Federal Reserve Chair Jerome Powell. They are hoping for insights into potential U.S. rate cuts in September, which could influence global financial markets.
At market open, nine out of 13 major sectors reported declines. Despite these sectoral shifts, small- and mid-cap stocks, which tend to be more oriented toward domestic economic conditions, showed relative stability.
In a notable development, the Public Sector Undertaking (PSU) stocks, which had recently posted impressive returns, are beginning to lose momentum. The turnaround in PSU banking stocks, which saw a dramatic recovery from losses of ₹87,000 crore in FY 2018 to profits of ₹1.41 lakh crore in FY 2024, appears to be coming to an end. However, Dr. V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services, indicated that the valuation of this segment remains appealing despite the recent slowdown.
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