Markets open higher; pare early gains amid foreign fund outflows

Equity benchmark indices Sensex and Nifty began the trade on a positive note on Monday (March 3, 2025) but soon turned negative amid heavy selling in bellwether stocks Reliance Industries and HDFC Bank as well as persistent outflow of foreign funds.

The 30-share BSE benchmark Sensex climbed 451.62 points to 73,649.72 in early trade. The NSE Nifty went up by 136.85 points to 22,261.55.

However, soon both the benchmark indices turned negative and were trading lower. The BSE benchmark quoted 249.53 points lower at 72,948.57, and the Nifty traded 61.50 points down at 22,063.20.

From the Sensex pack, IndusInd Bank, HDFC Bank, Reliance Industries, Axis Bank, Bajaj Finserv, Tata Steel, Adani Ports, Tata Motors, Zomato, Bajaj Finance and Hindustan Unilever were among the biggest laggards.

UltraTech Cement, Mahindra & Mahindra, Tech Mahindra, Larsen & Toubro, HCL Technologies, Infosys and Bharti Airtel were the gainers.

In Asian markets, Tokyo, Hong Kong and Shanghai were trading higher. Seoul stock market was closed due to a holiday.

U.S. markets ended largely positive on Friday (February 28, 2025).

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 11,639.02 crore on Friday (February 28, 2025), according to exchange data.

“The main triggers for the sustained FII selling in India have been the high valuations and the attractive U.S. bond yields. These important macros are undergoing a slow shift,” V.K. Vijayakumar, Chief Investment Strategist, Geojit Financial Services, said.

Meanwhile, global oil benchmark Brent crude went up 0.55% to $73.21 a barrel.

On Friday (February 28, 2025), the BSE benchmark Sensex tanked 1,414.33 points or 1.90% to settle at 73,198.10. Extending losses to the eighth straight day, the NSE Nifty slumped 420.35 points or 1.86% to close at 22,124.70.