Synopsis : Indian markets opened on a positive note mirroring Asian peers, with Sensex jumping over 250 points and Nifty reclaiming 26,000. Gains in metal, energy, and pharma stocks boosted sentiment even as mutual fund and AMC stocks tumbled sharply after SEBI’s proposed fee revamp.
Indian equities witnessed a firm start on Wednesday, tracking strong cues from Asian markets ahead of the U.S. Federal Reserve’s policy decision. The BSE Sensex climbed over 250 points, while the NSE Nifty 50 traded comfortably above 26,000, signaling renewed investor confidence.
On the sectoral front, metal, private banking, energy, and pharma indices led the gains, reflecting a positive undertone. However, auto and select financial stocks saw mild pressure as traders booked profits after recent rallies. Market breadth remained balanced, with broader indices trading range-bound, indicating cautious optimism among investors.
A key market highlight was the sharp correction in Asset Management Companies (AMCs) and capital market-related stocks, which plunged up to 10% following SEBI’s latest consultation paper proposing significant reforms to the mutual fund fee structure. The regulator suggested reducing expense ratios for large-AUM schemes and imposing caps on brokerage commissions charged to mutual fund investors.
This development triggered investor concerns about reduced profitability for fund houses, leading to heavy selling in HDFC AMC and other listed peers.
Globally, sentiment remained mixed:
S&P 500 futures rose 0.1% (as of 1:09 p.m. Tokyo time)
Japan’s Topix fell 0.2%
Australia’s S&P/ASX 200 slipped 1%
Shanghai Composite advanced 0.4%
Euro Stoxx 50 futures dipped 0.1%
With global investors awaiting the Fed’s policy cues, Indian markets appear poised for short-term volatility amid stock-specific movements.
Disclaimer : This article is for informational purposes only and should not be construed as financial advice. Investors are advised to consult certified financial advisors before making investment decisions.
