FIRST TRADE: Equities open higher; Nifty up 81 pts at 25,891, Sensex up 303 pts

Indian equities in Tuesday's trade opened higher tracking. At the open, Nifty opened higher with gains of 0.31 per cent or 80.55 points at 25,891.4, while Sensex added 303.05 points or 0.36 per cent at 84,602.83. 

Dr. V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services said,  "The unusual volatility in stock markets is reflected in the 8 per cent spike in Shanghai Composite Index and the 4.8% crash in Nikkei index yesterday. This extreme volatility is likely to stabilise soon. The hoped-for-recovery in the Chinese economy has triggered massive fund flows into Chinese stocks. This has delivered 20% returns in Shanghai composite in the last five days and 19.45% return in Hang Seng in the last one month. This momentum is attracting FIIs; but it remains to be seen how long this tactical trade will last."

Sectorally, buying sentiment was seen across the board with metal and FMCG being the only sectors in the red.

Within the Nifty pack, L&T, Tech Mahindra, Axis Bank, Infosys and M&M, while the laggards have been Asian Paints, Hindalco, Tata Steel, JSW Steel and Titan.

Asian stocks

Asian stocks in Tuesday's trade were trading mixed at the last count after the US Fed Chair's hawkish comments scuppered chances of a bigger rate cut going forward.