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    US debt deal optimism drives Sensex, Nifty higher in early trade

    Synopsis

    Among Sensex stocks, UltraTech Cement, ITC and HCL Tech were the top gainers, rising over 1% each. Kotak Bank, Titan, NTPC, Wipro, Bajaj Finance and Tech Mahindra also opened higher. On the flip side, Nestle, SBI, IndusInd Bank, Tata Steel, and Asian Paints opened in the red.

    Bull istock 1iStock
    Amid improved global cues after US lawmakers reached a tentative debt ceiling deal over the weekend, benchmark equity indices opened higher on Tuesday, led by index heavyweights Reliance and IT stocks.

    The BSE Sensex was trading 151 points or 0.24% higher at 62,997 while Nifty50 was at 18,646, up 47 points or 0.26% at around 9.27 am.

    Among Sensex stocks, UltraTech Cement, ITC and HCL Tech were the top gainers, rising over 1% each. Kotak Bank, Titan, NTPC, Wipro, Bajaj Finance and Tech Mahindra also opened higher. On the flip side, Nestle, SBI, IndusInd Bank, Tata Steel, and Asian Paints opened in the red.

    Among individual stocks, RVNL opened 4% lower after the PSU railway firm posted a 5% YoY decline in net profit to Rs 359 crore in Q4 FY23. Whereas, shares of Sobha rose over 9% after the company reported a rise in consolidated profit in the March quarter on strong demand.

    On the sectoral front, Nifty Consumer Durables surged 0.50% and Nifty FMCG rose 0.35%. Banks, auto, financial, IT, media, and healthcare sectors also opened with gains. In the broader market, Nifty Midcap 100 advanced 0.40% and Nifty Smallcap 100 gained 0.10%.

    Expert View
    "Nifty has gained 2.5%, so far this month, and is now just 290 points away from a new all-time high. The market in this rally has been driven by liquidity, mainly from FPIs who have invested Rs 33,625 crores through the exchanges and an additional Rs 5480 crores through the primary market accounting for a massive total investment of Rs 39,105 crores through 29th May," V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

    "India has again become a preferred choice of FPIs. So long as this foreign portfolio liquidity remains strong the market will remain resilient," Vijayakumar added.

    Deepak Jasani, Head of Retail Research at HDFC Securities said, "18696 is the next resistance for Nifty while 18508 could be a support."

    Global Markets
    Asian stocks were mostly higher on Tuesday as investors cheered the prospect that the world's largest economy will avert a major debt default, improving sentiment across most asset classes.

    MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.4% early Tuesday, after US stocks were closed on Monday for the Memorial Day holiday. The Japan's Nikkei 225 stock index rose 0.26%. Hong Kong's Hang Seng Index fell 0.76%, while South Korea's Kospi surged 0.77%.

    Rupee Weakens
    The Indian rupee fell 5 paise to $82.68 against the US dollar in early trade. The dollar index, which tracks the movement of the greenback against a basket of six major world currencies, surged 0.09% to 104.3 level.

    (With inputs from agencies)



    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more


    (What's moving Sensex and Nifty Track latest market news, stock tips and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)

    Download The Economic Times News App to get Daily Market Updates & Live Business News.

    Subscribe to The Economic Times Prime and read the Economic Times ePaper Online.and Sensex Today.

    Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price

    ...more
    The Economic Times

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