Indian equity benchmarks traded on a flat note with volatility on Tuesday as global sentiment remained tepid on recession worries. The Sensex hovered around the 65,900 mark while the Nifty held above 19,800.
On the Sensex, IT majors like Infosys, HCL Tech, and Tech Mahindra faced selling pressure. Reliance and Sun Pharma also witnessed profit-booking. However, gains in select Adani stocks, Titan, UltraTech Cement, and Axis Bank lent some support.
Broader markets saw buying interest in midcap and smallcap shares after recent underperformance. Among sectors, the Nifty IT index declined 0.3% dragging Nifty lower. Meanwhile, the metal index surged nearly 1% and FMCG traded higher.
Specifically, Adani group stocks rallied gaining up to 13% as the Supreme Court reserved its judgment on the Hindenburg crisis, providing temporary relief. BSE shares also jumped over 4% after Jefferies turned bullish with a 24% upside projected.
On Monday, domestic stock markets were shut on account of Guru Nanak Jayanti after ending a volatile month with minor cuts last Friday.
Going ahead, analysts expect the tug-of-war between bulls and bears to persist amid mixed global cues and the ongoing Q2 earnings season. Volatility may rise as the expiry of November derivative contracts approaches on Thursday this week.
