Markets trade higher amid mixed global cues; Nifty above 15,900 led by metal stocks

5 Jul 2022 , 09:37 AM

Markets traded between flat to slightly higher on Tuesday tracking mixed global cues. A broad-based buying across the sectoral indices lifted Sensex and Nifty 50, however, at a slower pace. The 30-scrip index has risen to nearly 53,530 but restrained itself from touching the 54,000 mark. Meanwhile, the 50-scrip index jumped at a maximum of 15,935 level in the opening bell, however, refrained to reach the 16,000-level.

As per the data released by the Commerce and Industry Ministry on Monday, India’s merchandise trade deficit rose to $25.6 billion in June 2022, 62% higher than June 2021 as a continuing global commodity supercycle kept the prices of key energy and metal imports high.

At around 09.42 AM, Sensex was trading at 53,522.88 up by 288.11 points or 0.54%. Nifty 50 was trading at 15,925.20 higher by 89.85 points or 0.57%.

The domestic equities can witness some consolidation with midcaps seeing greater traction as local flows buy midcaps.

Nifty gainers were – Tata Motors surging 2.5% followed by Coal India, Hindalco and Adani Ports up 1.5% each. JSW Steel soared 1.4%.

Losers on Nifty were – Britannia plunging nearly 1% followed by Asian Paints, Hero MotoCorp tumbling by 0.4% each. Divis Lab, Bajaj Auto were marginally down.

Metals, banking, auto stocks were among the top drivers of the Indian markets. Bank Nifty zoomed by nearly 220 points, while Nifty Metals advanced over 1.1%.

In the Asian markets, it opened in the green led by the Japanese ‘Nikkei’ & the South Korean markets as rebound in metals & banks sees positive sentiment in most Asian indices.

Chinese stocks particularly internet stocks will be in action as valuations become ripe for a rally.

US markets remain closed for the 4th July Independence holiday with global cues remaining fairly begin for equities. Bond yields rise marginally to 2.92% which adds flavor to the futures as markets are optimistic on equities after the recent sharp correction.