Domestic share markets started Tuesday’s session on a volatile note amid weakness across Asian equities on concerns about additional economic stimulus in the US. The S&P BSE Sensex index surged to as high as 40,628.47 at the strongest level in early trade, up 322.88 points from an intraday low of 40,305.59 recorded earlier. The broader NSE Nifty 50 benchmark climbed to as high as11,924.30, having earlier weakened to11,837.25 compared to its previous close of 11,873.05. While gains in automobile and IT shares pushed the markets higher, losses in consumer goods and select financial stocks limited the upside.
At 11:57 am, the Sensex traded at 40,722.83, up 291.23 points – or 0.72 per cent – from its previous close, while the Nifty was up 72.95 points – or 0.61 per cent – at 11,946.00.
HCL Technologies, Larsen & Toubro, Mahindra & Mahindra, Tech Mahindra, Asian Paints and JSW Steel, trading between 1.20 per cent and 2.75 per cent higher, were the top gainers in the Nifty index.
On the other hand, Britannia, Indian Oil, ONGC and IndusInd Bank, down 1.29-5.23 per cent each, were the worst hit among 24 laggards in the basket of 50 shares.
Infosys, HDFC Bank and HCL Tech were the biggest boosts to Sensex, contributing more than 100 points to the gain in the index.
Britannia Industries shares dropped more than 4 per cent, a day after the FMCG major reported quarterly revenue below estimates.
Market breadth was largely positive as 1,137 shares rose on the BSE against 969 that fell. On the NSE, 952 shares advanced while 757 declined.
Finance Minister Nirmala Sitharaman said on Monday the government had started an assessment of gross domestic product and that it had not closed the option of another stimulus, almost a week after unveiling a package that had left the market disappointed.
Equities in other Asian markets fell as investors adjusted risk exposure heading into the US election and as a deadline for Washington to pass an economic stimulus bill approached while Europe reported record daily coronavirus infections.
MSCI’s broadest index of Asia-Pacific shares outside Japan was last seen trading 0.11 per cent lower, tracking overnight losses in the US markets. Japan’s Nikkei 225 benchmark was down 0.34 per cent. However, Hong Kong’s Hang Seng index was up 0.16 per cent.
The E-Mini S&P 500 futures traded 0.26 per cent higher, indicating a positive start for US markets on Tuesday.