Sensex Opens Higher, Nifty Above 24,700 Amid Increased Volatility

Stock Market News: Domestic benchmark equity indices opened on a positive note on May 21, after closing in the red for three straight sessions. The Sensex opened 141.17 points or 0.17 per cent higher at 81,327.61 levels. On the other hand, the Nifty 50 opened 60.35 points or 0.24 per cent higher at 24,744.25.

The broader markets also mirrored the benchmarks, in early trade as the Nifty Midcap 100 opened higher by 0.12 per cent and the Nifty Smallcap 100 rose around 0.25 per cent. While all major sectoral indices opened higher, the Nifty IT and Nifty Bank gained the most in early trade as they opened higher by up by to 0.36 per cent. The India VIX also opened 0.53 per cent higher indicating increased volatility. Notably concerns regarding probable profit booking the increasing number of COVID-19 cases are possible causes for the heightened volatility.

Gainers And Losers In Early Trade

From the Nifty 50 pack, Dr. Reddy's Laboratories, Hindalco Industries Ltd, Sun Pharmaceutical Industries Ltd and Maruti Suzuki India Ltd were the top gainers in early trade as they traded higher by up to 1.44 per cent at the time of writing. Dr Reddy’s Laboratories emerged as the top gainer soon after the market opened. While Eternal Ltd, Trent, NTPC and IndusInd Bank emerged as top losers. Eternal shares declined the most in early trade as they traded 0.83 per cent lower.

US Markets Close Lower

US market indices closed in the red in Tuesday’s trade amid investors paring stake in tech stocks. The tech-heavy Nasdaq Composite index ended at 19,142.71 level down by 72.75 points or 0.38 per cent. The Dow Jones Futures closed lower at 42,594.02 level down by 83.22 points or 0.19 per cent. The S&P 500 also ended in the red, down by 23.14 points or 0.39 per cent.

Asian Markets Trade Mixed

On May 21, at the time of writing Asian markets traded mixed. The Tokyo based Nikkei 225 traded lower at 37,491.8 levels down by 37.69 points or 0.1 per cent. On the other hand, Asian indices such as the Hong-Kong based Hang Seng index traded higher by 23,857.95 up by 176.47 points or 0.75 per cent. The Korea Composite Stock Price Index or KOSPI and China’s key benchmark the Shanghai Composite index also traded higher by up to 0.98 per cent.