Indices open in green but lose momentum; SENSEX down 40 points, NIFTY50 below 24,500; FMCG stocks gain

The Indian stock market opened higher on Friday, August 29, as FMCG stocks rallied. The industrial production data added to the positive sentiment of the investors, while US tariffs remain a concern. However, it later slipped to negative.

India’s industrial production grew 3.5% year-on-year in July 2025, driven by strong manufacturing activity, according to official data released on Thursday. The country's industrial output earlier recorded this level of growth at 3.9% in March 2025.

Reliance Industries stocks remain in focus as the Mukesh Ambani-led firm will hold its AGM later today.

Among sectors, Nifty FMCG jumped 1.66%, taking the lead. Nifty Private Bank (0.46%) and Nifty Media (0.16%) also gained in the opening session. However, Nifty Auto (-0.84%), Nifty Realty (-0.75%) and Nifty Metal (-0.20%) were among the top losers.

The broader market remained under pressure in the early session, with both Nifty Smallcap 100 and Nifty Midcap 100 losing 0.05% and 0.12%, respectively.

According to exchange data, on Thursday, the foreign institutional investors (FIIs) sold shares worth ₹3,856.51 crore, while the domestic institutional investors (DIIs) bought equities worth ₹6,920.34 crore on a net basis.

On the global front, stocks in Asia were seen mixed on Friday, with investors waiting for key US inflation readings due later in the day for further clues on the Federal Reserve's rate outlook.

South Korea's KOSPI was down 0.11%, while Hong Kong's Hang Seng was trading up 0.67%, and the Shanghai Composite was also seen higher by 0.16%. However, Japan’s Nikkei was down 0.18%.

On Wall Street, the S&P 500 and Dow Jones Industrial Average touched record high closes on Thursday after Nvidia's quarterly report fell short of investors' high expectations. Further, investors will focus on Personal Consumption Expenditures data on Friday.

The S&P 500 rose 0.32% to end the session at 6,501.86 points. The Nasdaq gained 0.53% to 21,705.16 points, while the Dow Jones Industrial Average surged 0.16% to 45,636.90 points.

As many as 2,534 stocks traded on the NSE during the early session, among which only 1,293 were trading in the green, 1,177 were trading in the red, and 64 shares remained unchanged.

This indicates that the market's breadth was favourable to advances.

Meanwhile, 31 stocks hit their one-year highs in the early trade, while 40 stocks touched their 52-week lows.

Almost 18 stocks hit their lower circuits, and 25 stocks hit their upper circuits.

India VIX, the volatility gauge, was trading 2.62% lower at 11.86 levels.

Trent was the most contributing stock, rising 1.63%, followed by Asian Paints (1.63%), Hindustan Unilever (1.57%), Nestle India (1.51%) and ITC (1.41%).

On the contrary, Mahindra & Mahindra (-2.86%), Bajaj Auto (-1.03%), NTPC (-0.82%), Eternal (-0.82%) and IndusInd Bank (-0.78%) were among the top losers on the 50-share index.