Sensex, Nifty Rebound After One-Day Drop: Market Wrap
The NSE Nifty closed 0.59% higher and the Sensex ended with 0.68% gains.
India's benchmark indices ended higher on Tuesday led by gains in Reliance Industries Ltd. and banking stocks, ahead of the release of U.S. January CPI data.
The NSE Nifty 50 ended 127.20 points, or 0.59%, higher at 21,743.25, and the S&P BSE Sensex gained 482.70 points, or 0.68%, to end at 71,555.19.
The Nifty 50 hit an intraday high of 21,766.80, and the Sensex touched a high of 71,662.74.
"We have shared earlier too that from hereon, there could be a steady rise in volatility with the general elections approaching closer, and hence, one should reduce leverage and regularly keep booking profits at higher levels. Also, one should be selectively placed in large caps and reduce exposure in mid caps and small caps where the results are not coming in line with the price moves," said Sudeep Shah, deputy vice president and head of technical and derivative research desk at SBI Securities.
ICICI Bank Ltd., Reliance Industries Ltd., Axis Bank Ltd., Coal India Ltd., and Kotak Mahindra Bank Ltd. added positively to the Nifty 50.
Hindalco Industries Ltd., Grasim Industries Ltd., UltraTech Cement Ltd, Mahindra & Mahindra Ltd., and Titan Co. weighed on the index.
On the NSE, 11 out of 12 sectors gained, while one declined. The Nifty Financial Services index rose the most, while the Nifty Metal index declined the most among sectoral indices.
Broader markets underperformed their larger peers, with the S&P BSE Midcap ending with 0.6% gains and the Smallcap closed 0.18% higher on Tuesday.
On the BSE, 17 out of 20 sectoral indices advanced, while three fell. The S&P BSE Commodities fell the most among sectoral indices.
Market breadth was skewed in favour of sellers. Around 1,729 stocks fell, 2,127 stocks rose, and 93 remained unchanged on the BSE.
