Sensex, Nifty witness volatile trends in early trade

Equity benchmark indices Sensex and Nifty witnessed a volatile movement in early trade on Thursday, amid mixed trends in the global markets. After opening on a sluggish note, Sensex turned positive and rose 7.58 points or 0.01 per cent to 72,630.67 points. But the 30-share benchmark soon reversed the momentum and fell sharply by 381.94 points or 0.53 per cent to 72,241.15 points.

The broader Nifty also showed some resistance initially but gave in to the selling pressure and declined 148.40 points or 0.67 per cent to 21,906.65 points. Deepak Jasani, Head of Retail Research at HDFC Securities, said Asian equities on Thursday rose in a sign of fresh momentum in global equities after Nvidia Corp unveiled a better-than-expected revenue forecast.

Nvidia Corp’s solid results and outlook bolstered confidence in the artificial intelligence frenzy that has powered the stock market resurgence, he added.

On Wednesday, US stocks finished mostly higher while European shares ended on a mixed note.

Minutes of the US Federal Reserve’s January meeting showed most policymakers were concerned about the risks of cutting interest rates early.

On Wednesday, Sensex and Nifty snapped their six-day winning streak. While Sensex fell 434.31 points to close at 72,623.09 points, Nifty declined 141.90 points to end the day at 22,055.05 points.

Foreign Institutional Investors (FIIs) were net buyers on Wednesday as they purchased securities worth Rs 284.66 crore.