Sensex rises around 100 points in early deals, Nifty above 17,400-mark

The benchmark indices on the BSE and national Stock Exchange (NSE) opened on a choppy note with marginal gains on Monday amid weak global cues.

At 9:29 am, the S&P BSE Sensex was up 96.09 points (0.16 per cent) at 58,484.02, while the Nifty 50 was trading at 17, 424.00, up 26.50 points (0.15 per cent).

On the Sensex pack, M&M< IndusInd Bank, Maruti Suzuki, RIL, Power Grid and Titan were the top gainers in early deals while SBI, ICICI bank, Infosys, Kotak mahindra Bank, UltraTech Cement, HCL Technologies were the top losers.

Commenting on the market outlook, V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said, “A paradox in the economy-market connect is that good news on the economy can turn out to be bad news for markets. This is playing out now. The July US jobs data came in at a robust 580000 against the poll of 250000. This indicates a strong economy nowhere near recession. This means the Fed might hike rates by another 75 bp in September to cool the economy to contain inflation. Therefore, there can be a near-term strengthening of the dollar. It remains to be seen how FIIs will react to this. Growth impulses in India are strong. Leading indicators like bank credit growth, capacity utilization in manufacturing, automobile demand etc suggest an economy in strong rebound. Financials, capital goods and construction are on a strong wicket. Pharma and FMCG are stable. Robust jobs data in the US bodes well for the IT sector.”