Stock Market Pares Early Losses: Sensex Rises 200 Points, Nifty Trades Above 18,250 Amid Volatility. IT, Metals Lead

Stock update: On the 30-share Sensex platform, NTPC, PowerGrid, Infosys, Wipro, TechM, L&T were among the winners

The two key equity benchmarks, Sensex and Nifty, erased early losses on Monday and began trading in the green. At 9.40 am, the BSE Sensex went up 201 points to 61,931, while the NSE Nifty50 was trading at 18,260, up 68 points.

On the 30-share Sensex platform, NTPC, PowerGrid, Infosys, Wipro, TechM, L&T were among the winners. On the downside, Airtel, IndusInd Bank, Nestle, Asian Paints, Axis Bank, ICICI Bank emerged early losers.

Among individual stocks, shares of Zomato surged over 1 per cent after the company’s net loss narrowed to Rs 187.60 crore in Q4FY23. Siemens plunged over 8 per cent after the company approved sale of low voltage motors and geared motors businesses to a Siemens AG subsidiary, Siemens Large Drives India, for Rs 2,200 crore.

India VIX, the volatility gauge, jumped over 3 per cent.

In the broader markets, Nifty Midcap 100 and Nifty Smallcap 100 indices fell up to 0.2 per cent.

Sectorwise, Nifty IT, Nifty Metal, and Nifty Consumer Durables index were in the positive zone, gaining up to 0.5 per cent, while Nifty Media and Nifty Private Bank indices were the worst hit.

In the previous session on Friday, the S&P BSE Sensex ended 298 points higher at 61,730, while the NSE Nifty 50 settled at 18,203, up 73 points.

In Asian markets, Seoul, Tokyo, Shanghai, and Hong Kong were trading in the positive territory. The US market had ended marginally lower on Friday.

Global oil benchmark Brent crude declined 0.87 per cent to $74.92 per barrel.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 113.46 crore on Friday after remaining buyers for a number of days, according to exchange data.

Meanwhile, the rupee depreciated 13 paise to 82.80 against the US dollar in early trade on Monday, after the central bank said it will withdraw the highest value currency note from circulation.

At the interbank foreign exchange, the domestic unit fell to 82.80 in initial trade, registering a decline of 13 paise over its last close. On Friday, the rupee settled at 82.67 against the dollar.

Traders will also assess the impact of liquidity after the RBI's withdrawal of the highest denomination currency note from circulation, said Sriram Iyer Senior Research Analyst - Commodities & Currencies Reliance Securities Limited.