Indian rupee opened marginally higher at 75.04 per dollar on Tuesday against previous close of 75.08.
US dollar increased by 0.19% yesterday on prospects of monetary tightening. Further, hawkish statement from US Federal Reserve Chairman Powell continued to support the dollar. However, sharp upside was capped on positive global markets and decline in US treasury yields, said ICICI Direct.
Market at 10 AMBenchmark indices extended the early gains with Nifty trading above 18200.At 10:00 IST, the Sensex was up 428.85 points or 0.70% at 61395.90, and the Nifty was up 134.30 points or 0.74% at 18259.70. About 2058 shares have advanced, 637 shares declined, and 125 shares are unchanged.
Nifty PSU Bank index added 3 percent supported by the Bank of Baroda, PNB, Union Bank of India
V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services:
There are two important trends in the market now. One, there is selling pressure in the broader market. While Nifty is up 1.52% for the last one month, Nifty Small-cap is down 1.11%. Nifty Mid-cap is down 8% from its peak. Two, FIIs are continuously selling in the market; they have sold Rs 10300 crore worth equity in the last 5 days in the cash market.
If this FII selling sustains that would be a major drag on the market. The 8% correction in the mid-cap space is not getting reflected in the large-cap indices since stocks like RIL (10.4% weightage) ICICI Bank (7.2%) and HDFC (6.5%) have been resilient.
And there are no valuation concerns in these stocks unlike the froth that has been accumulating in many stocks in the mid and small-cap space.
The run up in many micro-caps and penny stocks has been totally irrational and likely to end in grief for many retail investors chasing these ‘cats and dogs’. As the saying goes, “we will know who all have been swimming naked only when the tide recedes.” There are clear signs of the broader market tide receding.
Gold prices edged lower on Tuesday, weighed down by an uptick in the dollar as investors eye upcoming key central bank meetings this week.
Spot gold fell 0.1% to $1,805.96 per ounce by 0116 GMT. U.S. gold futures was flat at $1,806.60.
On Monday, the metal rose nearly 1% to a high of $1,809.66, only about $4 shy of an over one-month peak scaled last week.
Axis Bank, Kotak Mahindra Bank, Bajaj Finance, ABB India, Cipla, Ambuja Cements, Asahi Songwon Colors, Best Agrolife, Birlasoft, Canara Bank, Central Bank of India, Century Enka, Cera Sanitaryware, Coromandel Engineering, Gati, Greaves Cotton, Greenlam Industries, Hikal, IRB Infrastructure Developers, Jindal Stainless, Dr Lal PathLabs, Mahindra Lifespace Developers, Meghmani Finechem, Mahanagar Gas, Meghmani Organics, Mangalore Refinery & Petrochemicals, Nippon Life India Asset Management, Persistent Systems, PI Industries, Sharda Cropchem, Shiva Cement, Surya Roshni, Symphony, Torrent Pharmaceuticals, Triveni Turbine, Wabco India, and Zensar Technologies.
Gainers and Losers on the BSE Sensex in the early trade:
Market Opens: Indian indices opened on positive note on October 26 with Nifty above 18150.
At 09:15 IST, the Sensex was up 156.51 points or 0.26% at 61123.56, and the Nifty was up 39.40 points or 0.22% at 18164.80. About 1049 shares have advanced, 492 shares declined, and 93 shares are unchanged.
Indian markets are likely to open flat to positive tracking mixed global cues led by a mix of upbeat earnings and reopening of the economy.
US markets ended higher amid awaited slew of earnings from Big Tech companies, as well as from other corporations across industries this week.
Market at pre-open: Benchmark indices are trading firm in the pre-opening session.
At 09:02 IST, the Sensex was up 313.82 points or 0.51% at 61280.87, and the Nifty was up 13.40 points or 0.07% at 18138.80.
Oil takes breather after latest charge amid tight market
Oil prices edged lower on Tuesday, taking a breather from a sustained rally driven by strong demand in the United States, the world’s biggest consumer of oil and its products.
Brent crude was down 20 cents or 0.2% at $85.79 a barrel by 0143 GMT, after gaining 0.5% on Monday. U.S. oil was down 21 cents or 0.3% at $83.55 a barrel, having finished unchanged the previous session after testing new highs.
While China’s red-hot power and coal markets have cooled somewhat after government intervention, energy prices remain elevated worldwide as temperatures fall with the onset of the northern winter.
FII and DII data
Foreign institutional investors (FIIs) net sold shares worth Rs 2,459.10 crore, while domestic institutional investors (DIIs) net bought shares worth Rs 2,390.23 crore in the Indian equity market on October 25, as per provisional data available on the NSE.