Sensex, Nifty End On Flat Note

Indian shares retreated from record highs to end on a flat note Tuesday after a highly volatile session.

The benchmark 30-share BSE Sensex hit fresh intra-day high of 58,553.07 before reversing direction to end the session down 17.43 points, or 0.03 percent, at 58,279.48.

The broader NSE Nifty hit as high as 17,436.50 before settling down 15.70 points, or 0.09 percent, at 17,362.10.

Wipro, Axis Bank, Hindalco, BPCL and Sun Pharma all fell around 2 percent in the Nifty pack, while IndusInd Bank, ITC, Grasim, HDFC and Bharti Airtel rose between 1 percent and 2.6 percent.

The rupee plunged 32 paise to close at 73.42 (provisional) against the greenback, tracking a firmer dollar in overseas markets and an uptick in U.S. Treasury yields.

The dollar index rose against its rivals and benchmark 10-year yields jumped to a more than one-week high, as investors assessed the global outlook against the backdrop of rising Delta coronavirus cases and signs of a slowdown in the economic recovery.

Market participants also looked ahead to Thursday’s meeting of the European Central Bank, which may act to slow down its massive bond-buying program in light of recent stronger-than-expected inflation data.

Earlier today, the Reserve Bank of Australia pressed ahead with its decision to reduce bond purchases by A$1 billion a week this month but postponed its next review of the weekly pace from November to mid-February.

Market Analysis