The domestic markets are expected to open on a flat but positive note on Thursday. Global markets remain lacklustre and are focussed on corporate results. As domestic participants are also following closely India Inc’s results, activity will be centred around individual stocks rather than on the index, said analysts.

SGX Nifty at 16,790 indicates a mild positive opening as Nifty April futures on Wednesday closed at 17,649.65.

According to BofA Global Research’s Fund Managers Survey, bearish sentiment about 2023 is driven by the possibility that a credit crunch could cause a double dip in global growth and the highest bond allocation since March 2009.

Also read:Stocks to watch today — April 20, 2023

Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd, said: “While the markets have seen FIIs paring their equity exposure in the last few sessions, the recent dismal earnings show from select frontline IT companies has been a sour point, which has led to broad-based selling, especially in IT counters.”

According the analysts, the lack of a trigger is hurting trading, but the market is in consolidation mode.

After gaining in nine consecutive trading sessions, the Nifty has been consolidating below the 17,800 zone for the last three days, said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd.Even FIIs have turned net sellers and have added to the overall weakness. 

“For now, the market is stuck in a narrow range due to a lack of major triggers. There is some action seen in the broader market, with niche sector-specific momentum. We expect sustained momentum in the pharma, speciality chemicals, sugar, rice and realty sectors over the next few days,” he added.

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