Daily Stock Market Reports

market indices: Indices rise on Russia-Ukraine talks

Mumbai: Indian equities rose 0.8% on Monday, rebounding from a decline of 1.8% earlier in the day, ahead of talks between Russian and Ukrainian officials on the fifth day of the conflict. Sentiment was however restrained as investors weighed the impact of sweeping sanctions imposed by western powers on Russia, sending oil prices above the $100-a-barrel mark once again after a dip on Friday.

The NSE Nifty gained 135.50 points or 0.81% to end at 16,793.90 after touching a low of 16,356.30. The BSE Sensex rose 388.76 points or 0.70% to close at 56,247.28, off the day’s low of 54,833.50.

The Nifty closed above the crucial hurdle of 16,700 but analysts are unwilling to bet that the bounce has enough legs to carry the markets higher in the wake of heightened uncertainty over the outcome of Russia’s invasion of Ukraine. The Volatility Index or VIX rose 6.8% to close at 28.57, suggesting traders still see risks to the market in the near term.

“Markets are worried about three things at the moment – the Russia-Ukraine war, inflation and state election results,” said A Balasubramanian, MD, Aditya Birla Sun Life Asset Management. “Once investors get more clarity on these events, sentiment will improve.”

Foreign portfolio investors sold shares worth a net ₹3,948.47 crore; their domestic peers were buyers to the tune of ₹4,142.82 crore on Monday.

Brent crude jumped 4.8% to $102.67 a barrel after western countries blocked some Russian banks from the SWIFT global payment system, threatening its oil exports. Goldman Sachs raised its target for crude to $115 a barrel.

In India, shares of metal companies were the top gainers as prices of the commodity surged on sanctions by the US and Europe on Russia.

The NSE Metal index soared 4.95% with Hindalco shares jumping 7.2%, Tata Steel gaining 6.3% and Jindal Steel advancing 6%.

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