Markets Rebound in Early Trade on Banking Buying, Global Peers Positive

Of the 30 Sensex firms, Axis Bank, Asian Paints, Bajaj Finserv, State Bank of India, ICICI Bank and Bajaj Finance were the top gainers.

Sun Pharma, Infosys, Tata Consultancy Services, HCL Tech, Tech Mahindra and Titan were the laggards.

Global oil reference Brent crude oil was traded at $96.11 per barrel, up 0.20 percent.

In Asian markets, South Korea’s benchmark Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng index traded higher.

US markets finished Thursday in positive territory.

“The strength in US markets, where the Dow extended its rally, together with generally positive Asian markets, reflects continued optimism about the fragile US-Iran ceasefire. While global sentiment has improved, it is still very event driven.”

“Any change in geopolitical developments can quickly change risk appetite, especially through its impact on crude oil prices. This remains constructive to the upside but not completely stable,” said Hariprasad K, Research Analyst and Founder, Livelong Wealth.

Foreign Institutional Investors (FIIs) sold shares worth Rs 1,711.19 billion on Thursday, according to stock exchange data. However, Domestic Institutional Investors (DIIs) purchased shares worth Rs 955.90 billion.

Ponmudi R, CEO of online trading and asset technology firm Enrich Money, said the market is currently in a “wait and watch” phase, with the direction dependent on three key triggers and being highly sensitive to the news flow: geopolitical developments, crude oil movement and FIIs.

On Thursday, the Sensex index fell 931.25 points, or 1.20 percent, to settle at 76,631.65. Nifty ended at 23,775.10 points, down 222.25 points or 0.93 percent.