Indian benchmark indices recovered from steep opening losses but continued to trade marginally lower on Tuesday morning, as gains in IT stocks helped offset weakness in banking, financial and power shares.
At around 10:24 am, the BSE Sensex was down 58.56 points, or 0.08%, at 74,208.78. The 30-share index had opened sharply lower at 73,945.20 and slipped to an intraday low of 73,815.12 before trimming losses. It later touched a high of 74,234.30.
The NSE Nifty 50 was trading 0.14% lower at 23,349.50 after recovering from early declines. The index had opened at 23,229.15 amid weak global cues and cautious investor sentiment.
IT Stocks Cushion the Fall
Information technology stocks emerged as the biggest gainers during the session, helping the benchmarks recover from their opening lows. TCS surged 5.24%, while Infosys gained 5.10%. HCLTech advanced 3.41% and Tech Mahindra climbed 2.11%.
Other stocks trading in positive territory included Mahindra & Mahindra, Eternal, ITC, Tata Steel and Asian Paints.
Financials, Power Stocks Remain Under Pressure
Despite the strength in technology counters, losses in financial and power stocks continued to weigh on the broader market.
Bajaj Finance declined 2.40%, followed by NTPC at 2.26%, Bajaj Finserv at 2.03% and Power Grid at 1.82%. Sun Pharma, Bharti Airtel, Maruti Suzuki, UltraTech Cement and ICICI Bank also traded lower.
Heavyweights such as Reliance Industries, HDFC Bank, Axis Bank, State Bank of India and Larsen & Toubro remained in the red, limiting the market’s recovery.
Broader Markets Trade Weak
The broader market mirrored the cautious sentiment seen in frontline indices. The Nifty Midcap 100 index slipped 0.25%, while the Nifty Smallcap 100 declined 0.20%.
Meanwhile, market volatility eased, with the India VIX falling 3.44% to 15.97. The decline in the volatility gauge suggested reduced near-term anxiety among investors despite continued pressure on select sectors.
Weak Global Cues Impact Opening Trade
Domestic equities had opened significantly lower earlier in the day, tracking weakness across Asian markets and lingering concerns over geopolitical tensions in the Middle East.
At around 9:21 am, the Nifty 50 was down 100.15 points, or 0.43%, at 23,282.45, while the Sensex had fallen 309.37 points, or 0.42%, to 73,957.98.
Although benchmark indices recovered a large portion of those losses as trading progressed, investors remained cautious amid global uncertainties and sector-specific weakness in financial stocks.
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