Market trade higher even as India-Pak tensions weigh on sentiment

The domestic share market indices traded on a positive note in the volatile session on Wednesday following strikes by Indian armed forces on terror targets in Pakistan and Pakistan-Occupied Kashmir (PoK).At close, the Sensex was up 105.71 points or 0.13 percent at 80,746.78, and the Nifty was up 34.80 points or 0.14 percent at 24,414.40. About 2121 shares advanced, 1620 shares declined, and 149 shares unchanged.
Tata Motors, Bajaj Finance, Jio Financial, Shriram Finance, Eternal were top gainers on the Nifty, while losers included Asian Paints, Sun Pharma, Bajaj Auto, Grasim Industries and Reliance Industries.On the sectoral front,except FMCG, pharma, all other indices ended in the green with auto, media, realty, consumer durables up 1 percent each.BSE midcap index rose 1.3 percent and smallcap index added 1 percent.
Rupee Close:
On 7 May'25,the Indian rupee depreciated 45 paise to close at 84.80  against the U.S. dollar on Wednesday , as heightened cross-border tensions following India's military strikes against terrorist camps in Pakistan and Pakistan- Occupied Kashmir weighed on the domestic currency.
Trading Guide:
Vinod Nair, Head of Research, Geojit Investments reportedly stated,Indian equity markets exhibited strong resilience amid recent Indo-Pak border tensions, the measured market response indicated that geopolitical risks were largely priced in and expectations of de-escalation is prevailing among investors. At the same time, the progress on the India–UK FTA further buoyed investor optimism, driving gains in key sectors such as textiles, automobiles, and information technology.
Globally, investor sentiment has improved as the United States and China signal a willingness to resume trade negotiations. Meanwhile, China’s recent interest rate cut contributed to a broadly positive tone across Asian markets. Market focus will shift to FOMC meeting, though rate cut appears unlikely, but FED comments will be keenly watched.

(Business Correspondent)