Opening Bell: Nifty above 17,100, Sensex adds over 500 points; Auto, FMCG gain most as all sectors turn green
The Indian market opened in the green on Tuesday tracking its Asian peers and trends on SGX Nifty, which hinted at a positive opening for the domestic equity market
The Indian market opened in the green on Tuesday tracking its Asian peers and trends on SGX Nifty, which hinted at a positive opening for the domestic equity market. Benchmarks Nifty50 and the Sensex opened higher by nearly 1% as the former crossed 17,100 and the latter opened above 57,000. The two indices opened at 17,121.30 and 57,066.24 respectively.
All sectors turned green in the open with FMCG, PSU Bank and Auto gaining the most.
In the broader market, midcap and small cap too gained more than 1% as India VIX (Volatility Index) slid below 20-mark.
"An interesting feature of the current volatile global equity market trend is that sharp dips in the market are followed by sharp upmoves. Dips caused by increasingly hawkish comments from the Fed, prolonging war in Ukraine and harsh lockdowns in China are getting bought resulting in recoveries. Whether it is in the US or India, retail investor enthusiasm is supporting markets even on negative news," said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
He said the heightened volatility is likely to continue in the coming days. "Investors can use the volatility to buy high quality stocks across segments. Banking stocks are at buyable valuations and IT stocks after the recent correction are good long-term bets," he added.
Earlier, In the pre-open, the Sensex was trading higher by nearly 500 points as 28 shares advanced, one declined and one remained neutral on the 30-share index.
Earlier, SGX Nifty Futures was trading higher by more than 130 points on the Singaporean Exchange around 9.05 am on Monday, hinting at a positive opening for the Indian market.
In the Asian market, all major indices traded in the green too. Japanese Nikkei 225 was up 0.5%, Hang Seng Index at the Hong Kong Exchange rose by more than 1.6% and Chinese Shanghai Composite gained nearly 1%, minutes before Indian market opened.
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