BackMarkets open marginally higher
As states ease restrictions gradually in June, the demand environment is expected to get better and can have a positive impact on the markets
PremiumMumbai: Indian equity markets opened marginally higher tracking mixed global trends and ahead of key US consumer price inflation data due later on Thursday.
At 9.30am, the benchmark Sensex was up 0.33% at 52,112.18 points, while Nifty gained 0.37% to 15,692 points.
"Further direction of the domestic markets would depend on the monsoon, opening up of the economy in a phased manner and the pace of vaccination going forward," said Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services.
As states ease restrictions gradually in June, the demand environment is expected to get better and can have a positive impact on the markets, Khemka added.
The US consumer price index for May could prompt the Federal Reserve to consider tapering asset purchases sooner rather than later.
Further, despite higher fiscal burden (estimated up to ₹1.15 trillion as per sources) due to announcement of extension of free food grains for 80 crore population till November and additional expenditure for vaccination, analysts believe government is unlikely to compromise on capital expenditure programme on account of higher tax collections.
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