The Sensex and Nifty were trading marginally lower due to selling pressure in bank, FMCG, infrastructure and power stocks despite firm global cues, reports Business Line .
At 3.25 p.m., the 30-share BSE index Sensex was down 30.54 points or 0.1% at 31,281.03 and the 50-share NSE index Nifty was down 6.25 points or 0.06% cent at 9,651.30.
Among BSE sectoral indices, consumer durables index was the star-performer and was up 1.06%, followed by IT 0.94%, realty 0.86% and TECk 0.71%. On the other hand, banking index was down 0.23%, FMCG 0.22%, infrastructure and power 0.16%.
Top five Sensex gainers were Tata Motors DVR (+1.71%), ONGC (+1.6%), Infosys (+1.51%), Cipla (+1.18%) and Dr Reddy's (+0.53%), while the major losers were PowerGrid (-1.72%), Lupin (-1.67%), Axis Bank (-1.35%), HDFC (-1.07%) and Hero MotoCorp (-1.05%).
IT stocks rebound
Shares of information technology companies, including Infosys Ltd, jumped tracking an overnight rebound in US technology stocks.
Asian shares were also up, with Japan's Nikkei rising more than 1% to a near two-year high, tracking gains in US hi-tech shares as investors bet on solid growth in the economy, and corporate profits globally.
“The Indian IT sector is mostly trading at fairly good valuations at the moment, specifically in the mid-cap space, said Amit Chandra, senior manager and research analyst at HDFC Securities.
Short-term triggers such as bonus and share buybacks due from companies such as Wipro Ltd are also boosting overall sentiment in the sector, he added.
The Nifty IT index was up 0.6%, with Infosys, up 1.7%, gaining the most. The stock had fallen in the last three sessions.
Among mid-caps, Mindtree Ltd gained as much as 1.8%, while Tata Elxsi Ltd rose as much as 2.5%.
Bank stocks down
However, weakness in banking stocks capped the index gains. The Nifty PSU Bank index fell as much as 1.05%.
The farm loan waivers for small-and-marginal farmers announced by the Punjab government on Monday are impacting the PSU sector particularly, said Sunil Sharma, chief investment officer, Sanctum Wealth Management.
Punjab National Bank was the top percentage loser on the Nifty PSU Bank index, declining as much as 2.5%.
Asian shares
Japan's Nikkei rose more than 1% to a near two-year high on Tuesday, encouraged by rebound in US hi-tech shares as investors bet on solid growth in the economy and corporate profits globally.
MSCI's broadest index of Asia-Pacific shares outside Japan held firm near a two-year high struck last week, but was little changed on the day, with gains in high-tech firms offset by a decline in Australian shares.
US stocks rose on Monday, with the S&P 500 and the Dow hitting record highs with growth sectors such as technology in favour again as investors appeared to regain confidence in the economy after upbeat comments from Federal Reserve officials.
Nasdaq's biotechnology index rose 2.5% in its biggest one-day gain since February while the S&P's healthcare index had a record-high close.
