Markets opened higher on Friday morning, shaking off the previous session’s losses, even as geopolitical tensions in the Middle East and elevated crude oil prices continued to keep the broader sentiment cautious.
Benchmark indices open higher
The BSE Sensex, which closed at 76,631.65 on Thursday, opened at 77,121.01 and was trading at 77,140.74, up 509.09 points or 0.66 per cent, as of 9.25 AM. The Nifty 50, which ended the previous session at 23,775.10, opened at 23,880.55 and climbed to 23,923.95, gaining 148.85 points or 0.63 per cent at the same time.
Global cues remain mixed
The uptick came despite a weak close on Wall Street, where the S&P 500 fell approximately 2.1 per cent to close at 6,369, suffering its fifth consecutive weekly loss — its longest losing streak in nearly four years. The Nasdaq Composite slipped approximately 3.2 per cent, marking its worst weekly performance since the start of the US–Iran conflict.
West Asia tensions weigh on sentiment
The dominant overhang remains the escalating conflict in the West Asia. Over the past 48 hours, Iran has continued to fire missiles and drones at Israeli-held territory and Gulf-based US military facilities, while Israel and the US have carried out retaliatory strikes on Iranian missile and nuclear-related sites. The Strait of Hormuz remains under intermittent Iranian naval pressure, disrupting an estimated 15–16 million barrels of daily oil flow.
Crude surge fuels inflation concerns
Brent crude surged on fresh Houthi missile and drone strikes on Israel, putting it on track for a record monthly gain. Crude hovering in the ₹90–100 range per barrel is keeping inflation expectations elevated and raising concerns over India’s current account and fiscal position.
Devarsh Vakil, Head of Prime Research, HDFC Securities, noted that “…the week underscored a shift toward risk-off positioning, with traders repricing the odds of an extended geopolitical standoff and higher-for-longer rates.”
Rupee hits record low, RBI acts
The Indian Rupee hit a fresh record low on Friday, touching 93.98 against the US Dollar. The Reserve Bank of India responded by imposing a uniform $100 million limit on the net open foreign exchange positions of banks, replacing the previous flexible cap of 25 per cent of capital. Banks have been directed to unwind large currency positions by April 10. Vakil noted the RBI “…shifted its strategy from direct market intervention to regulatory tightening to preserve its war chest.”
IT stocks drag markets
The IT sector was the biggest drag on the indices. TCS fell 1.78 per cent to ₹2,543 after reporting its January–March quarter results. Infosys dropped 2.13 per cent to ₹1,303.30, Tech Mahindra declined 1.44 per cent to ₹1,440.60, and HCL Technologies slipped 1.29 per cent to ₹1,446. Hariprasad K, SEBI-registered Research Analyst and Founder of Livelong Wealth, said TCS “…delivered a steady quarter with profit growth and a healthy dividend announcement, offering near-term comfort,” but added that “…relatively muted full-year growth signals that demand visibility remains moderate, which could keep the broader IT pack range-bound.”
Sun Pharmaceutical was the steepest Nifty loser, falling 3.63 per cent to ₹1,654.80, with heavy volumes of over 10.44 lakh shares traded.
Financials, consumption stocks lend support
On the other side, financial and consumption stocks provided support. Shriram Finance led Nifty gains, rising 3.14 per cent to ₹1,027.60. Axis Bank advanced 1.74 per cent to ₹1,341.40, while Bajaj Finserv climbed 1.69 per cent to ₹1,797.50. Asian Paints rose 1.68 per cent to ₹2,307.80, and Eicher Motors gained 1.64 per cent to ₹7,264.50.
Aakash Shah, Technical Research Analyst at Choice Equity Broking, pointed out that “…selective resilience was seen in IT and metal stocks,” though financials and banking counters saw notable pressure in the previous session after a sharp rally.
FII outflows, volatility keep markets on edge
Foreign institutional investors remained net sellers to the tune of approximately ₹1,711 crore in the previous session, while domestic institutional investors provided partial support with inflows of around ₹956 crore. India VIX closed at 20.4275, signalling elevated uncertainty and expectations of continued intraday swings.
Ponmudi R, CEO of Enrich Money, observed that “…continuous institutional selling is capping upside momentum,” and that the market is now in a “…wait and watch phase — highly sensitive to news flow, with direction dependent on three key triggers: geopolitical developments, crude oil movement, and FII flow reversal.”
Key technical levels to watch
Technically, Nifty faces immediate resistance at 23,850–23,900, with the key psychological barrier at 24,000 where heavy call open interest continues to cap gains. Support is placed at 23,650–23,700 on the downside.