equity markets in Mumbai opened on a subdued note on Tuesday, with major indices slipping by about 0.2 per cent each due to a surge in crude oil prices and weak global sentiments.
The Sensex commenced trading at 72,633.68, down 138.04 points or 0.19 per cent.
Similarly, the Nifty declined 47.80 points, or 0.21 per cent, opening at 22,732.45.
Sectoral performance was mixed as Nifty Auto, Nifty Media, Nifty FMCG, and Nifty Cement dropped by up to 0.64 per cent during the morning session. Indices of consumer durables, metal, and chemicals also traded lower. Conversely, pharmaceutical and healthcare stocks gained, with Nifty Pharma and Nifty 500 Healthcare indices rising by nearly 1 per cent.
According to analysts, the global macroeconomic environment remains unfavourable for equities due to elevated crude prices and higher US bond yields, intensifying concerns among investors.
They noted, "With Brent crude above $106 and the US 10-year bond yield at 5.23 per cent, the global macro construct continues to be unfavourable for equity markets."
However, experts suggested that attractive valuations among large-cap growth stocks could present buying opportunities for long-term investors.
In the short term, the outlook remains bearish after a breakdown below 23,000 on the Nifty, with derivatives positioning indicating heightened caution.
support levels for the Nifty were identified between 22,650 and 22,700, while resistance levels were placed at 22,950 to 23,000.
Provisional data from exchanges showed that foreign institutional investors were net sellers for the third consecutive session, offloading equities worth over Rs 5,353 crore on Monday.
Conversely, domestic institutional investors remained net buyers, purchasing equities valued at Rs 5,189 crore.
International benchmark Brent crude traded at $106.87 a barrel, marking a gain of more than 1 per cent, with US West Texas Intermediate (WTI) crude also up at $93.99 per barrel.
Asian markets continued to face pressure, as Japan's Nikkei, Hong Kong's Hang Seng, and South Korea's KOSPI declined by up to 1 per cent during early trade.
Overnight on Monday, US stocks closed lower, with the S&P 500 falling 0.77 per cent and the Nasdaq dropping 0.92 per cent.
