NIFTY & SENSEX open positive, broader indices continue to march higher

On Tuesday, Indian equity benchmark indices started the trading day on a positive note, with the NIFTY50 index and SENSEX opening higher. In the broader markets, the Nifty Midcap 100 made a record high while Smallcap 100 index also surged. Helping sentiments are the fact that India's current account deficit for 2023-24 narrowed considerably to $23.2 billion (0.7% of GDP) from $67 billion (2% of GDP) the previous year, driven by a reduction in merchandise trade deficit.

At 9:25 AM: The SENSEX was trading higher by 0.29% above the 77,500 level, similarly, the NIFTY50 was up by 0.27% above the 23,500 level. Bank Nifty gained by 0.47% and was hovering above the 51,900 level. India VIX has slightly declined by 0.11% and is trading near the mark of 14, a marginal decline in market volatility.

Broader indices - Looking at the broader indices, the NIFTY Midcap 100 index was trading higher by 0.54% making a new record high of 55,904.95 level while the Nifty Smallcap 100 gained by 0.89% trading above the 18,400 level. Market breadth is positive with 1,735 stocks advancing while 380 stocks declining.

Sectoral Performance - Within the sectoral landscape, Nifty PSU Bank (+0.66%), Nifty Media (+0.64%) and Nifty Financial Services (+0.41%) are among the top gainers, while Nifty Realty (-0.63%), Nifty FMCG (-0.09%) and Nifty IT (-0.03%) were the major sectors that were trading negatively.

Top Gainers and Losers - In the NIFTY50 space, UltraTech Cement (+1.45%), Hindalco Industries (+0.82%), and HDFC Bank (+0.85%) are among the top gainers. On the other hand, HCL Technologies (-0.46%), Grasim (-0.51%) & Shriram Finance (-0.51%) were among the major losers.

U.S. Markets - U.S. stock indexes showed mixed results on Monday as investors awaited a crucial U.S. inflation report expected later this week.

U.S. 10-year and 2-year Treasury yields remained flat in early Tuesday trading.

Commodities - On Tuesday, oil prices remained largely unchanged as concerns over China's economic recovery prospects balanced out supply worries stemming from tensions in the Middle East and Ukrainian strikes on Russian refineries.

Brent futures for August delivery inched up by 7 cents, or 0.08%, to $86.06 per barrel, ahead of the contract's expiration later this week. The more actively traded September contract edged up by 8 cents, or 0.09%, to $85.23.

Stocks in F&O Ban - Stocks banned for trading in the F&O segment on June 25, 2024, are Balrampur Chini Mills, Chambal Fertilisers & Chemicals, Gujarat Narmada Valley Fertilizers & Chemicals, Granules Indus Towers, Piramal Enterprises, Punjab National Bank and Steel Authority of India.