BENGALURU: Indian shares rose on Tuesday, tracking a rebound in global markets as risk sentiment improved on easing fears of an escalation in the Middle East conflict, while corporate earnings also aided sentiment.
The NSE Nifty 50 was up 0.33% at 22,411.15 as of 10:27 a.m. IST, while the S&P BSE Sensex gained 0.32% to 73,884.02.
Asian markets advanced on the day, while U.S. equities closed higher overnight as investors scaled back safe-haven bets on easing worries of a wider Mideast conflict.
All the 13 major sectors logged gains, with heavyweight IT stocks gaining about 0.5%.
“Earnings season is looking better than anticipated and investor confidence is still running high,” said Kush Gupta, director at SKG Investments and Advisory.
Among stocks, Tejas Networks surged 20% to a record high after reporting a profit in the March quarter compared to a loss a year earlier. The stock was the top gainer in the small-cap index, which rose 0.85%.
Mid-caps added 0.75%, led by Indus Towers, which jumped 3% after CLSA upgraded the stock to “buy” from “out-perform”. The brokerage projected the company to be the key beneficiary of Vodafone Idea’s fundraising.
Indian shares join global rebound as Middle East worries ease
“The Middle East tensions made investors cagey for a few sessions, but it does not alter the outlook for domestic equities,” Gupta said.
Bharti Airtel added 2% and was the top Nifty 50 gainer. The telecom operator has risen about 9% since April 16, hitting a record high for four straight sessions.
It signed an agreement to sell its operations in Sri Lanka to Dialog Axiata on April 18.
Mahindra & Mahindra Financial Services dropped 4.5%, after deferring its board meeting to declare quarterly results due to a fraud at one of its branches.
Realty stocks surged 2.6%, extending gains to 3.3% so far this week and rebounding from a 2.75% drop last week.
Reliance Industries, the second heaviest Nifty 50 stock, rose 0.3%, after the company reported quarterly profit above analysts’ estimates.
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