Nifty Hits 50-DMA First Time Since Oct 2024: What It Means For Markets

• Indian markets, Nifty and Sensex, touched their 50-day moving average on Jan 8, signalling cautious investor sentiment and potential weakness.
• The decline followed a sharp sell-off, with Sensex falling 1% to 84,180 and Nifty down 1% to 25,877.
• Experts warn Nifty must close above 26,000 to avoid further drops, potentially to 25,460.
• Geopolitical factors like proposed tariffs on Russian oil and removal of China import curbs impacted refiners (Indian Oil, Hindustan Petroleum) and capital goods (BHEL, L&T).
• Global market weakness, US economic data, and geopolitical risks (Greenland, Venezuela) also contributed to the negative sentiment.

Why It Matters: Indian markets face weakness as Nifty hits 50-DMA, driven by sell-offs and geopolitical concerns.