Sensex gains over 285 points, Nifty rises 115 points as crude oil prices ease

The domestic benchmark indices recovered from their initial losses to settle higher on Tuesday driven by latesession buying and easing in crude oil prices despite lingering geopolitical tensionsMarket movementAfter trading in the negative territory the 30share BSE Sensex bounced back and gained 28698 points or 037 per cent to settle at 7765609 The 50share NSE Nifty too advanced 11550 points or 048 per cent at 2433455 supported by late buyingIndian benchmark indices staged a recovery in the final hour of trade and closed firmly in positive territory after a volatile session on 25 August the monthly expiry day Buying interest strengthened towards the close helping the Nifty reclaim and sustain above the crucial 24300 mark The latesession recovery reflected improved risk appetite despite heightened expiryrelated volatility Bajaj Broking Research saidDuring the initial trade the Sensex slipped 16951 points or 022 per cent at 7719960 while the 50share NSE lost 8025 points or 033 per cent at 2413880Outperforming the broader market healthcare and financial sectors gained as investors rotated into defensive and domesticoriented sectors with signs of some stability in domestic bond marketFrom the Sensex pack InterGlobe Aviation Adani Ports Infosys Trent Titan and State Bank of India were the major gainersEternal HCL Tech Power Grid and Bajaj Finserv were among the major laggardsOn Monday Sensex shed 17172 points or 022 per cent to settle at 7736911 while the Nifty dipped 3295 points or 014 per cent to end at 2421905 as investor sentiment remained cautious amid concerns over Irans threat to restrict transit through the Strait of Hormuz ahead of Washingtons sanctions announcementGlobal cuesIndian equities are expected to see some recovery following the decline in crude oil prices Brent crude fell 32 per cent to around USD 89 per barrel its lowest level in a week as hopes of easing USIran tensions provided some relief to oil markets while developments around Iran and the Strait of Hormuz remain key monitorable for oil prices the rupee and foreign flows Siddhartha Khemka Head of Research Wealth Management Motilal Oswal Financial Services saidAccording to news agency PTI Brent crude the global oil benchmark declined 3 per cent to USD 8932 per barrel while Foreign Institutional Investors FIIs bought equities worth Rs 118166 crore on MondayThe muchanticipated US sanctions against Iran fell short of market expectations causing crude oil prices and bond yields to moderate from their recent peaks This relief in energy costs aided a moderately positive close today on the monthly expiry day Vinod Nair Head of Research Geojit Investments saidMarket participants are now awaiting upcoming inflation data and comments from the Fed Chair later this week for better clarity on the inflation and interest rate outlook However nearterm cautiousness is expected to continue for Indian equities as unresolved USIran tensions keep oil prices and bond yields relatively elevated leaving investors sensitive to sudden shifts in the Middle East geopolitical landscape Nair addedIn Asian markets South Koreas Kospi Japans Nikkei 225 and Shanghais SSE Composite index ended higher while Hong Kongs Hang Seng index marginally declinedWith inputs from PTI