Domestic markets recover in morning trade, tracking strong global cues

MUMBAI: The domestic markets recovered on early Wednesday morning after key indices ended with losses on Tuesday. The stocks were in the green today, tracking cues from strong global stocks and indices. On Tuesday, global investors were caught by surprise as central bank Bank of Japan decided to review its yield curve control policy.

Key indices S&P BSE Sensex surged 265 points to 61,968.17 while NSE Nifty 50 gained 72 points to 18,457.35 at 9.20 am on Wednesday morning. Among the most active stocks on BSE, Shyam Metal, Lal Pathlab, Bajaj Hind and UCO Bank were some of the gainers. Some of the laggards on the index were NFL, Lloyd Steel, Ircon and City Union.
On the index Nifty 50, Apollo Hospital, HCL Tech, UPL, HDFC Life and Hindalco were in the green while Dr Reddy’s, Bharti Airtel and L and T were some of the stocks which were trading in negative.

In Asian markets, Japan’s Nikkei went down 59.30 points to 26,508.73, Hong Kong’s Hang Seng surged 107 points while China’s Shanghai gained 10 points on Wednesday morning.

In Europe, FTSE gained 9 points; CAC was in the green while Deutsche Borse declined 58 points as markets open in the Asian countries. In American markets, Down Jones went up 92 points, Nasdaq was flat but in the green while S-P gained 3 points to 3,821 level. In early Wednesday trade, local currency fell 5 paise to 82.75 against the dollar.

In the commodities market on Wednesday, Brent Crude hovered around $80 per barrel, up 0.2 per cent, whereas WTI Crude climbed over 1 per cent to $76 per barrel.

On Tuesday, domestic equity benchmarks ended with minor losses, tracking negative global cues. Global investors were rattled by a surprise monetary policy shift by the Bank of Japan (BoJ). BoJ stunned markets by deciding to review its yield curve control policy and widen the trading band for the 10-year government bond yield. Investors were concerned that aggressive monetary policy moves by global central banks could push the world economy into recession.

On Tuesday, BSE Sensex declined 103.90 points or 0.17 per cent to 61,702.29 while NSE’s Nifty 50 index lost 35.15 points or 0.19 per cent to 18,385.30.

The NSE’s India VIX, a gauge of the market’s expectation of volatility over the near term, rose 1.67% to 13.78 on Tuesday. In the foreign exchange market, the rupee edged lower against the dollar on Tuesday. The partially convertible rupee was hovering at 82.7550, compared with its close of 82.6250 during the previous trading session.

On Tuesday, yen soared to four-month high after the Japanese central bank decided to allow the 10-year bond yield to move 50 basis points, either side of its 0 per cent target, wider than the previous 25 basis point band. BoJ, however, kept its yield target unchanged and said it will sharply increase bond-buying.

Hinduja Global Solutions (HGS) slipped 3 per cent on Tuesday. The board of HGS on 19 December 2022 approved a share buyback of up to Rs 1,020 crore through a tender offer route. The maximum buyback price is set at Rs 1,700 per share. (ANI)

0 - 0

Thank You For Your Vote!

Sorry You have Already Voted!