Equity benchmark indices experienced a rebound in early trading on Tuesday, bouncing back from the significant losses suffered in the previous trade. This recovery was largely attributed to the strength of the US markets. The BSE Sensex, comprising 30 shares, rose by 202.72 points to reach 60,113.47 in early trade, while the broader NSE Nifty gained 59.75 points to reach 17,766.60. Among the Sensex firms, the gainers were Tata Motors, HCL Technologies, IndusInd Bank, Maruti, Nestle, Infosys, Kotak Mahindra Bank and Bajaj Finserv. However, Power Grid, Reliance Industries, Hindustan Unilever, Titan, Bharti Airtel and ITC were among the laggards.
Inflation, based on the wholesale price index (WPI), eased to a 29-month low of 1.34% in March due to a reduction in the prices of manufactured products and fuel items, although food articles became more expensive. This marks the 10th consecutive month that WPI-based inflation has declined.
In Asian markets, Seoul, Shanghai and Hong Kong were trading lower, while Japan experienced gains. The US markets had ended on a positive note on Monday. On Monday, the Sensex had plummeted 520.25 points, or 0.86%, to settle at 59,910.75. The Nifty fell 121.15 points, or 0.68%, to finish at 17,706.85.
Meanwhile, Brent crude, the global oil benchmark, climbed by 0.31% to reach USD 85.02 per barrel. Foreign Portfolio Investors (FPIs) sold equities worth Rs 533.20 crore on Monday, according to exchange data.
In conclusion, the equity markets bounced back on Tuesday, recouping some of the losses from the previous trade. The easing of wholesale price-based inflation was a positive development, although FPIs continued to sell equities. The markets remained volatile, with several Asian markets trading lower, but the US markets had ended positively the previous day.
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