Market update: In observance of Maharashtra Day, the BSE and NSE will be closed today

Update on the stock market: Due to Maharashtra Day, stock markets will be closed today, May 1. Regular trading will resume on Thursday, May 2. Due to the 2024 Lok Sabha Elections, Monday, May 20, is the next market holiday.

Tuesday’s stock indexes ended the morning slightly lower, buoyed by robust US markets, better investor mood, and a relative de-escalation of tensions in West Asia.

The Indian stock markets saw a smooth surge at the beginning of April, mostly due to selling activity by Foreign Portfolio Investors, but volatility soon resurfaced. Due to the continuous geopolitical unrest in the Middle East, foreign portfolio investors, or FPIs, have recently been net sellers of Indian equities. This suggests that investors were removing cash from their portfolios.

According to data from National Securities Depository Limited (NSDL), foreign portfolio investors (FPIs), who were net purchasers for the third month till a few days ago in April, have sold equities worth a total of Rs 8,671 crore.

Corporate earnings announcements and the much awaited Federal Open Market Committee (FOMC) meeting, which is set for April 30 to May 1, will dominate the market moving forward.

In order to combat excessive inflation, the US Federal Reserve decided to maintain the policy rate at 5.25–5.50% percent at its meeting in March. This is the fifth consecutive meeting in which the rate has remained unchanged. There were almost no interest rates during the COVID epidemic.