Sensex, Nifty open lower as IT, pharma stocks drag markets
Benchmark stock market indices remained under pressure to open lower on Wednesday with IT and pharma sector stocks dragging the market lower.
The S&P BSE Sensex shed 291.20 points to 75,676.19, while the NSE Nifty50 lost 88.65 points to 22,856.65 as of 9:25 AM.
Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services said that despite largecap valuations turning fair, and even attractive in segments like financials, the market continues to be weak.
“Seen in the context of new records being set by S&P 500 and Nasdaq, India’s underperformance is striking. News of Chinese authorities encouraging their top businessmen to invest is another headwind for India since Chinese stocks are cheap (Hang Seng is trading at PE of 12.6) and may attract big inflows from FIIs, which means FIIs might continue selling in India. FIIs will start buying when the dollar depreciates and the US bond yields start coming down. This might take time. A strong fundamental factor that can turn FIIs into buyers is the indication of earnings recovery in India. This is likely in early FY 2026. High frequency indicators might suggest a turnaround in growth and earnings soon,” he added.
