Indices settle choppy session higher: RIL saves the day

Equity benchmarks Sensex and Nifty came off the day's highs but managed to end the session tad higher on Monday, with gains in Reliance Industries negating losses in financials, especially HDFC twins.

The BSE gauge Sensex settled 99.36 points, or 0.27 per cent, higher at 36,693.69 -- giving up about gains of 330 points from its intra-day peak.

Similarly, the NSE Nifty closed 34.65 points, or 1.15 per cent, up at 10,802.70 -- losing about 80 points from the day's high.

On the Sensex chart, Reliance Industries (RIL) was among the top gainers, jumping over 3 per cent to hit its record closing high.

The company said it has secured Rs 730 crore from wireless technology leader Qualcomm by selling a small stake in Jio Platforms.

Among other stellar performers on the Sensex were Tech Mahindra, HCL Tech, Bharti Airtel, Infosys, HUL and ITC.

However, Sensex gains were mainly capped by index heavyweights HDFC twins -- both slumping up to 2 per cent, after a report stating HDFC Bank has conducted an investigation into allegations of improper lending practices and conflict of interest at its vehicle financing arm.

Among other losers on the index were PowerGrid, Bajaj Finance, ICICI Bank, SBI and Kotak Bank.

Traders said that market movement was largely dictated by specific index-heavyweight stocks leading to high volatility, but positive cues from global markets kept overall sentiment afloat.

Sectorally, BSE energy, telecom, teck, IT, metal and FMCG indices rose up to 2.47 per cent, while realty, finance, bankex and utilities indices fell up to 1.52 per cent.

Broader midcap rose 0.05 per cent, while smallcap slipped 0.15 per cent.

"In a volatile day of trade, the market gave up almost all of its early gains, before closing out the day with a positive bias. Financials ended negative while IT and FMCG led the sectoral gains,” Vinod Nair, Head of Research at Geojit Financial Services, said.

Markets are hoping for further stimulus measures from the RBI, following expectations of a softening of inflation rates, which would give the central bank room for further rate cuts, he added.

In the global market, Shanghai, Hong Kong, Tokyo and Seoul ended with significant gains amid hopes of a better earning season.

Stock exchanges in Europe were also trading on a positive note in early deals.

Meanwhile, international oil benchmark Brent crude futures fell 1.25 per cent to USD 42.70 per barrel.

On the currency front, the rupee settled on a flat note at 75.19 against the US dollar.