The domestic stock markets have opened at new highs, continuing with the positive momentum witnessed in the previous session, on optimism over Covid-19 vaccines roll-out and expectations of a quick economic recovery. At 9:18 am, the BSE Sensex was at 52,421.55, higher by 282.50 points or 0.56 per cent and the NSE Nifty was at 15,403.70, up 85 points or 0.55 per cent.
All the Nifty sectoral indices are trading in the green, with the exception of the pharma index. The Nifty PSU Bank index has moved higher by almost 1 per cent to touch new life-time highs, thereby building on the 3+ per cent gains seen on Monday.
Global shares held firm on Tuesday, with a solid foundation in place to extend their bull run to a 12th consecutive session as optimism about the global economic recovery and expectations of low interest rates drive investments into riskier assets.
MSCI’s broadest index of Asia-Pacific shares outside Japan ticked up 0.1 per cent, while Japan’s Nikkei rose 0.4 per cent to a 30-year high.
Wall Street was closed on Monday on account of President’s Day holiday, while the mainland Chinese markets will remain shut for Lunar New Year till Wednesday.
S&P500 futures traded 0.5 per cent higher to a record level and MSCI’s all country world index (ACWI), which has risen every single day so far this month, ticked up slightly.
Meanwhile, oil prices soared to their highest in about 13 months on Monday as vaccine roll-outs promised to revive demand and producers kept supply reined in. Brent crude was up 93 cents, or 1.5 per cent, at $63.36 a barrel by 1523 GMT after hitting a session peak of $63.76, its highest since Jan. 22 last year.
Financial stocks have extended their rally for the second consecutive day. IndusInd Bank, Kotak Mahindra Bank, SBI, HDFC and HDFC Bank have gained 1-2 per cent each on the BSE. ONGC, L&T and NTPC are the other significant gainers among the BSE stocks.
On the other hand, M&M, Sun Pharma, Infosys and TCS have bucked the strong trend to register losses of around half a per cent each.
The BSE market breadth was positive; about 991 shares advanced and 353 shares declined.