Markets leap over 1% on Ukraine truce hopes

After remaining within the pink for many a part of the day, home markets on Tuesday shot up over 1 per cent within the final hour of commerce on constructive world cues.

Despite excessive crude costs, the Sensex bounced again 1,059 factors from the day’s low of 56,930 to finish at 57,989.30, up 697 factors, or 1.22 per cent. It hit an intra-day excessive of 58,053. The Nifty closed at 17,315.50, up 198 factors, or 1.16 per cent. The rally was led by IT, oil and gasoline, and vitality shares. Reliance Industries was among the many high gainers within the Sensex pack, rising 2.59 per cent.

Explained

In the early hours of buying and selling, home markets fought again the lows brought on by a hawkish US Fed and rising oil costs. However, the rise in world markets buoyed sentiments of traders right here.

Vinod Nair, head of analysis, Geojit Financial Services, mentioned, “The domestic market started with a negative bias taking cues from rising crude prices and hawkish signals from Fed on aggressive policy tightening. However, the trend reversed as European markets opened on a positive note buoyed by hope that Ukraine may consider working towards a truce.”

Analysts mentioned a hawkish US Fed and the 10-year yield within the US rising to 2.29 per cent are headwinds for world markets.