Stock Market Pares Early Losses: Sensex Gains, Nifty Trades Above 17,600. Adani Stocks Surge 10 Per Cent

Stock update: On the 30-share Sensex platform, Bajaj twins are two leading from the front. NTPC, ITC, Sun Pharma, UltraCemco also emerged winners

The two key equities, Sensex and Nifty, on Monday started on weak note. However, the two domestic indices erased their early morning losses and were trading marginally higher on the back of gains in financial and metal stocks amid volatility.

At 9.50 am, the BSE Sensex was up 64 points to 59,395, on the other hand, the NSE Nifty50 was trading at 17,622, up 18 points.

On the 30-share Sensex platform, Bajaj twins are two leading from the front. NTPC, ITC, Sun Pharma, UltraCemco also emerged winners. On the flip side, PowerGrid, HUL, IndusInd Bank, L&T, Airtel, Tata Steel were the prime losers.

Adani Enterprises (up 10 per cent), Adani Ports, Bajaj Finance, SNI, NTPC, and Bajaj Finserv were the top Nifty50 gainers, rallying between 2 per cent and 10 per cent,

In the broader market, the BSE MidCap and SmallCap indices declined up to 0.34 per cent.

Sectorally, the Nifty Metal index was the top NSE gainer, up 1 per cent; while the Nifty Oil and Gas index was the top NSE loser, down 4 per cent.

Shares of Adani Group's flagship firm surged 10 per cent per cent after the company filed a 413-page response to the Hindenburg Group. Other group stocks, such as Adani Total Gas, Adani Transmission, and Adani Ports, were down up to 18 per cent as clouds over Adani group, amid its clash with US-based Hindenburg Research, weighed on sentiment.

In the previous session on Friday, Tthe S&P BSE Sensex declined 874 points to close at 59,331, its lowest level since October 21, 2022 when it ended at 59,307. The NSE Nifty dropped to 17,604 with a massive loss of 288 points.

Meanwhile, the rupee depreciated 10 paise to 81.69 against the US dollar in early trade on Monday, weighed down by significant foreign fund outflows. At the interbank foreign exchange, the domestic unit opened weak at 81.69 against the dollar, registering a decline of 10 paise over its last close.

In the previous session on Friday, the rupee settled at 81.59 against the American currency. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.01 per cent to 101.92.

Brent crude futures, the global oil benchmark, declined 0.17 per cent to $86.51 per barrel.

The focus on the Union Budget and the US Federal Reserve's policy decision will dictate the course for the local unit on Monday, traders said. "Asian and emerging market peers have started with gains and could aid investor sentiments. However, demand from importers and the Reserve Bank of India's presence could cap gains," said Sriram Iyer, Senior Research Analyst at Reliance Securities.

Foreign Institutional Investors (FIIs) turned net sellers in the capital markets on Friday as they offloaded shares worth Rs 5,977.86 crore, according to exchange data amid a slump in Indian equities due to Adani Group-led selloff on Friday.