IT, bank stocks drag Sensex 150 points lower; Nifty below 22,450

Among the Sensex stocks, , , , , and opened with cuts in early trade, while , , Titan, and opened with gains.

shares traded 15% higher after the apparel retailer said it was planning to demerge Madura Fashion & Lifestyle, which contributes more than 70% of the company's total revenue, into a separate listed entity.

rose 3.5% after the firm handled 420 MMT of cargo in FY24 (including international ports), clocking a 24% on-year rise.

Sector-wise, IT declined by 0.5%, and Nifty Healthcare dropped by 0.36%. However, Nifty Auto, Media, Metal, PSU Bank, Realty, Consumer Durables, and Oil & Gas opened with gains. In the broader market, Nifty Smallcap100 rose by 0.5%, while Nifty Midcap100 surged by 0.34%.

Experts View
"Since the global construct is slightly negative as evidenced by the rising dollar and rising US bond yields ( the 10-year is at 4.3%) the FPIs may be tempted to sell. But FPI selling is not having any major impact on the market since DIIs, HNIs and retail investors are calling the shots now," said V K Vijayakumar, Chief Investment Strategist, .

Deven Mehata, Research Analyst at Choice Broking, said, "Nifty can find support at 22,400 followed by 22,350 and 22,300. On the higher side, 22,550 can be an immediate resistance, followed by 22,600 and 22,650."

Global Markets
Asian markets opened higher, with the MSCI Asia ex-Japan index adding 0.69%.

Wall Street equities closed mixed overnight as optimism over moderating inflation was offset by data signalling strength in U.S. economy that could allow the Federal Reserve to delay the onset of rate cuts.

U.S. manufacturing grew for the first time in 1-1/2 years in March, helped by rebound in production and rise in new orders, data showed on Monday, weighing on hopes of a rate cut from June.

FII/DII Tracker
Foreign portfolio investors sold Rs 522 crore of shares on a net basis while domestic institutional investors purchased shares worth Rs 1,208 crore, on Monday, according to provisional data from the National Stock Exchange.

Oil Gains
Oil prices gained in early Asian trading on Tuesday, underpinned by signs of improved demand and escalating Middle East tensions that had sparked a rally in U.S. futures to a five-month high in the previous session.

Brent futures for June delivery rose 37 cents to $87.79 a barrel. The May contract for U.S. West Texas Intermediate (WTI) crude futures rose 32 cents to $84.03 a barrel.

Currency Watch
The Indian rupee rose 4 paise to 83.35 against the US dollar in early trade. The dollar index, which tracks the movement of the greenback against a basket of six major world currencies, increased 0.05% to 105.07 level.

(With inputs from agencies)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)