At 9.17 am, the BSE Sensex was trading 354 points or 0.58% higher at 61,100. Nifty50 was trading at 18,104, up 92 points or 0.51%.
“Globally markets are looking forward to the Fed commentary after its meeting on November 1st and 2nd. A 75 bps hike in rates is already discounted by the market. If the Fed indicates moderation in rate hikes, going forward, markets would positively respond to that,” V K Vijayakumar, Chief Investment Strategist at
“An interesting trend in the market is that FIIs and DIIs have reversed their roles: FIIs have turned buyers and DIIs have turned sellers in recent days. Yesterday’s FII buy figure of Rs 4,178 crore is their largest buy figure in recent months. The implication of this role reversal by FIIs is that this has triggered short covering in stocks like the
twins where FIIs are major holders. This trend can take the market up further,” Vijayakumar said.
Since Nifty is only 3% away from its all-time high, a charge to record highs cannot be ruled out but DIIs are likely to sell at higher levels and many retail investors might be tempted to book some profits, he added.
Among Sensex stocks, Dr Reddy’s Labs, M&M,
Corp, , and Reliance were the top gainers, rising about 1-2.5%. , , , , and also opened higher.
Sectorally, Nifty Pharma surged 1.10% and Nifty Financial Services rose 0.81%. Nifty Auto and Nifty Oil & Gas also opened higher. In the broader market, Nifty Midcap50 surged 0.56% and Smallcap50 increased 0.28%.
On Monday, Dow Jones Industrial Average plunged 0.39%, S&P 500 fell 0.75% and Nasdaq Composite dropped 1.03% in overnight trade.
In early trade in Asian markets, Japan’s Nikkei 225 rose 0.20%, China’s Shanghai Composite advanced 1.02% and South Korea’s Kospi surged 1.47%.
The Indian rupee fell 0.02% to 82.75 against US dollar in early trade on Tuesday. Meanwhile, the dollar index, which tracks the movement of the greenback against a basket of six major world currencies, declined 0.14% to 111.37 level.