Early trade sees markets rise as foreign funds continue to pour in
Press Releases India
On Tuesday morning, benchmark indices continued their winning streak, fueled by continuous buying from foreign institutional investors (FIIs) and optimism that recession fears in the US are easing. The 30-share BSE Sensex rose by 173.65 points to reach 61,937.90 in early trade, while the NSE Nifty advanced by 54.35 points to reach 18,318.75. Major gainers among the Sensex firms included Bajaj Finserv, Tata Motors, Tata Steel, Titan, UltraTech Cement, Larsen & Toubro, Bajaj Finance, Axis Bank, and HDFC, while State Bank of India, HCL Technologies, ITC, and Reliance Industries were among the major laggards. In Asian markets, Tokyo and Shanghai were trading in the green, while Seoul and Hong Kong quoted lower.
According to Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, the positive catalyst driving market sentiment is the easing of recession fears in the US. Additionally, FIIs continue to buy shares, with Monday seeing them buy equities worth Rs 2,123.76 crore, according to exchange data. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, attributes the ongoing market rally to three factors: the better-than-expected strength of the US economy, strong buying by FIIs during the last eight trading days, and fundamental support from macro indicators such as robust GST collections, improving PMI, high fuel consumption, and good credit growth.
On Monday, the BSE benchmark rallied 709.96 points or 1.16 per cent to settle at 61,764.25, while the Nifty climbed 195.40 points or 1.08 per cent to end at 18,264.40. Despite the market gains, global oil benchmark Brent crude dipped 0.42 per cent to USD 76.68 per barrel.
