Index heavyweights drive Sensex 127 pts higher; Nifty above 16,950

Tracking mixed global cues, Indian equity indices ended higher in a highly volatile market on Monday, led by index heavyweights Reliance, Infosys, SBI and HDFC Bank.

The 30-share BSE benchmark Sensex rose 127 points or 0.22% to settle at 57,653. The broader NSE Nifty surged 41 points or 0.24% to end at 16,986.

From the Sensex pack, Reliance, Maruti, and Sun Pharma were the top gainers, rising 1-1.5%. SBI, UltraTech Cement, Infosys, Kotak Bank and HUL also closed higher. On the other hand, Power Grid, Axis Bank, M&M and Tata Motors closed with losses.

Shares of Lupin ended 3.3% higher after the company received tentative approval from USFDA for Valbenazine Capsules.

Meanwhile, shares of Adani Group flagship Adani Enterprises ended 1.13% lower on the BSE. Adani Green Energy, Adani Transmission, Adani Power, Adani Total Gas, Adani Wilmar and NDTV closed with a 5% lower circuit.

Sector-wise, Nifty Pharma advanced 1.08% and Nifty FMCG rose 0.28%. However, auto, financial, media, realty, consumer durables, and oil & gas stocks ended in the red. In the broader market, Nifty Midcap50 dropped 0.34% and Smallcap50 plunged 1.68%.

The market capitalisation of all listed companies on BSE declined by Rs 1.12 lakh crore to Rs 253.51 lakh crore.

Jatin Gedia, Technical Research Analyst at Sharekhan by BNP Paribas, said, "The Nifty witnessed an extremely volatile day of trade today. On the downside, the Nifty is within the range of 16,910 – 16,970 where the crucial fibonacci retracement levels are placed. On the upside initial targets are placed at 17,200 and above that, it can extend higher to 17,450 – 17,500. The crucial support zone is placed at 16,910 – 16,870."

Global Markets
Asian stocks were mixed Monday in a cautious start to what could be another rocky week for global markets after a rout in banking shares renewed fears for the sector. Hong Kong and Shanghai dipped, while Tokyo, Sydney and Singapore rose, following a positive finish on Wall Street last week.

European stocks are on the rise with the banking sector leading the gains, bouncing from last week's declines, after a buyer emerged for large parts of Silicon Valley Bank's deposits and loans, which helped ease some of the anxiety across markets.

The STOXX banks index rose 2.3% in early trading and was last at 1.2% after sinking 3.8% on Friday. It is largely outperforming the broader stock market, with the pan European STOXX 600 index rising 0.8%.

Brent crude rises
Oil prices rose on Monday as investors assessed efforts by authorities to rein in concerns over the global banking system while Russian President Vladimir Putin's plans to place tactical nuclear weapons in Belarus ratcheted up tensions in Europe.

Brent crude futures were up 65 cents, or 0.87%, to $75.25 a barrel. West Texas Intermediate US crude was up 66 cents, or 0.95% at $69.91 a barrel.

Rupee Strengthens
The rupee rose against the US currency on Monday, helped by likely dollar inflows and healthier risk, traders said. The rupee last traded at 82.37 to the dollar, up from 82.48 in the previous session. The local currency held an 82.2775 to 82.4250 range.

Meanwhile, other Asian currencies declined. The offshore Chinese yuan declined below 6.88 to the dollar and the Korean won and the Thai baht were down more than 0.5%. The dollar index rose to 103.14.

(With inputs from agencies)