FIRST TRADE: Sensex up over 100 points, Nifty tests 18,350; Tata Motors jumps over 3 per cent

The domestic equities witnessed a better-than-anticipated start to the trade on May 15, 2023. In the opening deals, the S&P BSE Sensex was trading over 150 points, or 0.25 per cent higher at 62,182.88 points while the NSE's Nifty was ruling at 18,347.95, up 33.15 points, or 0.18 per cent. Tata Motors hit a 52-week high of Rs 537.15 in trade after the company reported robust numbers for the March quarter. At the time of writing this news, the stock traded over 3 per cent higher at Rs 532.05 apiece on the BSE against Friday's close of Rs 515.65.

"Even though the Congress victory in the Karnataka elections was much better-than-expected, it is unlikely to have a negative impact on markets, which in the near term is driven mainly by FPI inflows backed by improving fundamentals. Karnataka has a long track record of voting out the incumbents. FPIs are unlikely to be deterred by the election outcome,"  said Dr V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. The macro picture is mixed with declining CPI inflation (4.7% in April ) but a worrisome dip in March IIP at 1.1 per cent. But from the market perspective, the news is good since the RBI can be expected to ‘extend the pause’ in the June policy meeting. The market construct favours buy-on dips with a focus on autos and financials. Bank Nifty is slowly moving to record highs, Vijayakumar added.

In the broader market, the S&P BSE SmallCap index was trading 0.29 per cent higher at 29,702.83 while the S&P BSE MidCap index was trading 0.28 per cent higher at 29,702.83 levels. Sectorally, most indices were trading in the green. Realty stocks gained the most followed by auto counters.