Amidst favorable worldwide signals, MKT range bound
Tuesday saw advances in telecom, IT, and consumer durable companies amid a robust trend in global markets, leading to the closing of the equity benchmark indices Sensex and Nifty higher for the third session in a row. The appreciating bias of the markets was, however, limited, according to traders, by growing global oil prices and fresh outflows of foreign money amidst geopolitical worries.
The 30-share BSE Sensex closed 89.83 points, or 0.12 percent, higher at 73,738.45 after rising more than 400 points. It increased by 411.27 points, or 0.55 percent, to 74,059.89 during the session. Reversing much of its early gains, the NSE Nifty closed at 22,368 up 31.60 points, or 0.14 percent. It increased by 111.15 points, or 0.49 percent, to 22,447.55 throughout the day.
The local market outperformed the overall market for an extended period of time, mirroring strong global signals. Although there didn’t seem to be much of an increase in hostilities between Iran and Israel, the rise in oil prices indicates that investors are reevaluating the dangers. Higher US bond rates and the dollar index are projected to cause FII withdrawals to persist, while DII inflows are bolstering the rebound, according to Vinod Nair, head of research at Geojit Financial Services.
