Snapping 6-day losses, equity indices rise in opening deals

by IANS |

New Delhi, May 16 (IANS) Snapping their six straight session losses, Indian equity indices rose in opening deals on Monday, possibly due to value buying at lower levels.

At 9.51 a.m., Sensex was 1.0 per cent or 513 points up at 53,307 points, whereas Nifty was 1.2 per cent or 185 points up at 15,967 points.

The recent consistent decline was triggered as equity investors were concerned about the persistent high inflation globally and tightening monetary policy stance by several central banks.

India's retail inflation accelerated to 7.79 per cent in April due to high fuel and food costs. The inflation print remained above the tolerance limit of the central bank RBI for a fourth month in a row.

Analysts expect inflation to be on the higher side in coming months too.

In a bear phase there will be relief rallies, but such rallies are unlikely to sustain, given the relentless selling by FIIs, said V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

"It is rational to expect more FII selling, particularly when the market stages relief rallies. It is important to appreciate the fact that FIIs are selling not because they are bearish on India but because the US bond yields are attractive and the dollar is strengthening," said Vijayakumar.

Long-term investors can start accumulating high quality stocks in financials, telecom, IT and construction segments.

Latest News
Rajasthan Cong seeks NIA probe into BJP's alleged links with terrorists Tue, Jul 05, 2022, 04:30 PM
Will BJP respect 5-term Jalalpore MLA's wishes and renominate him? Tue, Jul 05, 2022, 04:29 PM
Congress raises pitch on PSI recruitment scam in Karnataka, BJP hits back Tue, Jul 05, 2022, 04:17 PM
ACB conducts raids on Oppn leader Siddaramaiah's right hand man in K'taka Tue, Jul 05, 2022, 04:16 PM
Proposal sent to rename wards in Ayodhya after Kalyan Singh, Ashok Singhal Tue, Jul 05, 2022, 04:06 PM
David Warner's wife fumes over life-time ban on husband from taking up leadership role in Australia Tue, Jul 05, 2022, 03:55 PM
'Chalk and cheese': Stark contrast in Rishabh Pant's batting in red and white-ball cricket Tue, Jul 05, 2022, 03:44 PM
Juvenile held in Delhi for raping 12-year-old kin Tue, Jul 05, 2022, 03:27 PM
Sudanese leader says military to stay out of political talks Tue, Jul 05, 2022, 03:22 PM
Kerala Minister Saji Cherian criticises Constitution, rtd judge seeks resignation Tue, Jul 05, 2022, 03:20 PM
Palestine rejects results of US probe on Al Jazeera journo's killing Tue, Jul 05, 2022, 03:15 PM
The Ukraine war shapes a new world order - unipolarity crumbles to give way to multipolarity-Part 2 Tue, Jul 05, 2022, 03:04 PM
India were disappointing and timid to say the least on Day 4, says Shastri Tue, Jul 05, 2022, 02:49 PM
Elderly couple found murdered in Kanpur Tue, Jul 05, 2022, 02:44 PM
India has to limit loan Tue, Jul 05, 2022, 02:34 PM