Markets at day's high ahead of Budget 2018; Nifty tests 11,100

Sectoral indices also ventured into the positive teritorry after yesterday's bear grip

Asian shares gained early today, recovering from from the slump that caught the market earlier this week. Image source: PTI

Even as Finance Minister Arun Jaitley is going to present Union Budget for 2018-19 today, Indian markets opened higher. After yesterday's fall, the BSE Sensex regained the 36,000 level and the benchmark Nifty also reclaimed 11,100 level.

Sectoral indices also ventured into the positive teritorry after yesterday's bear grip.

Asian shares gained early today, recovering from from the slump that caught the market earlier this week after the US Federal Reserve kept interest rates on hold as expected at its first policy meeting in 2018 yesterday. However, the US Fed flagged interest policy tightening later this year.

Rising US bond yields and interest rates could be dampener for the global economic outlook.

MSCI`s broadest index of Asia-Pacific shares outside Japan rose 0.1% in early trade, slowly recovering from the Tuesday`s 1.4% fall. Japan`s Nikkei also rose 0.5%.

Yesterday, key Indian equity indices ended in the red today with the Sensex slipping below the psychologically important 36,000-mark and the Nifty50 closing just above the 11,000-level, as participants trimmed positions amid fresh outflow by foreign funds.

Except banking and financial services, all Nifty indices were in the negative teritorry.

Infratel, Kotak Mahindra Bank, BPCL, Tech Mahindra and Reliance were among the gainers in the Nifty50 index, while DrReddy's, Tata Steel, Hindustan Unilever, UPL, Indiabulls Housing Finance stocks shed.

The trend was bearish as 21 shares advanced against 28 declines on the benchmark Nifty.

Negative global cues, coupled with heavy selling pressure in consumer durables, capital goods and healthcare stocks, pulled the key Indian equity indices lower for the second consecutive session, an IANS report said.

Wider Nifty50 of the National Stock Exchange (NSE) closed 0.20% lower at 11,027.70 points, while the BSE Sensex, which opened at 35,951.64 points, ended 0.19% at 35,965.02 points.

The Sensex touched a high of 36,047.67 points and a low of 35,834.04 points during the intra-day trade.

The BSE market breadth was bearish as 1,911 stocks declined against 799 advances yesterday.

The Nifty50 fell 0.73% to close at 11,049.65 points, while the Sensex closed at 36,033.73 points, down 0.69%.

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