Equity benchmark Sensex surged over 400 points in early trade on Tuesday, tracking gains in index majors Reliance Industries, Kotak Bank and HDFC Bank amid a positive trend in global markets.
The 30-share index was trading 444.17 points or 0.78 per cent higher at 57,191.31 in initial deals. Similarly, the Nifty rose 131.60 points or 0.78 per cent to 17,043.85.
Tata Steel was the top gainer in the Sensex pack, rising over 2 per cent, followed by Kotak Bank, Axis Bank, Maruti, IndusInd Bank and SBI.
On the other hand, Dr Reddy’s, Tech Mahindra, L&T, Bharti Airtel and HCL Tech were among the laggards.
In the previous session, the 30-share equity benchmark ended 949.32 points or 1.65 per cent lower at 56,747.14, and Nifty slumped 284.45 points or 1.65 per cent to 16,912.25.
Foreign institutional investors (FIIs) remained net sellers in the capital market, as they sold shares worth Rs 3,361.28 crore on Monday, as per exchange data.
Elsewhere in Asia, bourses in Shanghai, Hong Kong, Seoul and Tokyo were trading with gains in mid-session deals.
Stock exchanges in the US too ended on a positive note in the overnight session.
Meanwhile, international oil benchmark Brent crude rose 0.62 per cent to $73.53 per barrel.
Commenting on the market, ICICI Securities said the Nifty midcap and small cap indices are sustaining well above its 100 days EMA which has been held since June 2020, highlighting inherent strength. The brokerage houses said it believes, ongoing consolidation will make the market healthy and form a higher base. Therefore, the focus should be on accumulating quality stocks to ride the structural uptrend, according to a report in The Financial Express.