Sensex rises over 150 points in early trade
Equity benchmark Sensex surged over 150 points in early trade on Tuesday, tracking gains in index majors HDFC Bank, ICICI Bank, and Tata Steel amid a positive trend in global markets. The 30-share BSE index was trading 155.51 points or 0.29 percent higher at 53,007.78 in initial deals, while the broader NSE Nifty rose 48.15 points or 0.30 percent to 15,872.60.
Who were the top gainers and losers?
Tata Steel was the top gainer in the Sensex pack, rising more than one percent, followed by ICICI Bank, HDFC Bank, IndusInd Bank, Maruti, Titan, and SBI. On the other hand, Axis Bank, L&T, HCL Tech, Nestle India, and HDFC were among the laggards.
Sensex had ended 0.23 percent lower in the previous session
In the previous session, Sensex ended 123.53 points or 0.23 percent lower at 52,852.27, and Nifty, on the other hand, slipped 31.60 points or 0.20 percent to 15,824.45. Foreign institutional investors (FIIs) were the net sellers in the capital market as they offloaded shares worth Rs. 2,376.79 crore on Monday, as per the provisional exchange data.
1QFY22 corporate earnings have been strong so far: Expert
"Domestic markets look to be modestly good as of now. Notably, 1QFY22 corporate earnings have been strong so far and commentary of most management also have been encouraging," said Binod Modi Head-Strategy at Reliance Securities. "Asset quality worry for banks and NBFCs post 1QFY22 earnings cards of HDFC Banks and ICICI Banks weighed on investor sentiment," he said.
Asset quality likely to improve with complete economic reopening: Expert
"However, it is likely to improve with the reopening of the complete economy and faster job creation," he stated. "While concerns over global growth due to the recent rise in delta variant coronavirus cases in different parts of the world continue to persist, we believe that the underlying strength of the domestic market remains intact," Modi added.
Brent crude was trading at $74 per barrel
US equities extended gains ahead of the corporate earnings report cards of heavyweights and Federal Reserve policy meeting outcome. Elsewhere in Asia, bourses in Shanghai, Seoul, and Tokyo were trading with gains in mid-session deals, while Hong Kong was in the red. Meanwhile, international oil benchmark Brent crude advanced 0.41 percent to $74 per barrel.