The Indian market benchmark indexes, the BSE Sensex and Nifty50, rose sharply in early trade on Tuesday after falling dramatically the day before. While the BSE Sensex rose beyond 79,600, the Nifty50 climbed above 24,300. At 9:16 a.m., the BSE Sensex was trading at 79,679.64, up 920 points (1.17%). The Nifty50 traded at 24,329.80, up 274 points or 1.14%.
Following the sell-off in global shares, Indian markets fell over 3% on Monday, indicating investors' fears about the US economic slowdown.
"We expect volatility to persist ahead of RBI policy and multiple global headwinds, such as the unwinding of Yen carry trades, recession fears in the United States, and escalating tensions in the Middle East. The US slowdown is a greater issue, and the US Fed will eventually bite the bullet and decrease interest rates, which should bring comfort in the current climate," said Siddhartha Khemka, Head of Retail Research at Motilal Oswal.
According to Nagaraj Shetti of HDFC Securities, the Nifty's short-term trend continues significantly negative, and the overall chart pattern from smaller to bigger time frames seems shaky.
Global markets, including S&P 500 futures, Hang Seng futures, Nikkei 225 futures, Australia's S&P/ASX 200, and Euro Stoxx 50 futures, all exhibited upward action.
In the foreign market, the euro held steady at $1.0956, while the Japanese yen slid 0.8% to 145.40 per dollar. The offshore yuan remained relatively unchanged at 7.1435 per dollar. Oil prices rose by more than a dollar on Tuesday, with Brent oil futures rising 1.6% to $77.55 a barrel and U.S. West Texas Intermediate crude futures rising 1.9% to $74.29, as concerns over potential supply disruptions in the Middle East trumped fears of a US recession.
Several stocks, including India Cements, Granules, BirlaSoft, Indiamart, RBL Bank, GNFC, Chambal Fertilizers, and Hindustan Copper, are subject to the F&O embargo today. Foreign portfolio investors were net sellers on Monday, dumping shares worth Rs 10,073 crore, while local institutional investors purchased shares worth Rs 9,155 crore.
On Tuesday, notable firms such as PFC, Vedanta, Tata Power, TVS Motor, and Shree Cements, among 132 others, will report their first quarter results.
