Markets in celebratory mood post Diwali, Sensex and Nifty zoom

Indian equity markets were trading around their intraday high points in the afternoon trading session, with Sensex and Nifty gaining around 627 and 173 points, respectively.

In line with the larger peers, the broader indices too gained traction with the Metal sector and Auto sector shining the most among all major sectoral indices on the BSE.  The market sentiments were optimistic as the Central Board of Indirect Taxes and Customs (CBIC) favored extending incentives based on parameters like job creation and committed investments across the country. Also the market participants took note of Prime Minister Narendra Modi asserting that the global economic outlook is strongly dependent on the path chartered by large developing countries like India and Saudi Arabia.

The stocks related to the metal industry were in limelight on Tuesday as Minister of Petroleum and Natural Gas & Steel Dharmendra Pradhan said that the demand of steel  in the country has witnessed a substantial  increase  and  is  expected  to increase further in the future as India embarks to become a $5 trillion economy. The Indian markets were also highly influenced by the US markets extending their gains and ending higher on Monday, with S&P 500 hitting a record high, amid continued optimism about US-China trade talks as well as news that the European Union (EU) has granted the UK's request for a Brexit deadline extension.

At around 14:40 hours, the BSE Sensex was trading at 39889.97, up by 639 points or 1.60 per cent after trading in a range of 39917.01 and 39,254.12. There were 27 stocks advancing against 3 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index rose 1.27 per cent, while Small cap index was up by 0.18 per cent.

The top gaining sectoral indices on the BSE were Metal up by 4.15 per cent, Auto up by 4.58 per cent, Energy up by 2.34 per cent while Telecom was on the losing side, down by 4.57 per cent on the BSE. 

The top gainers on the Sensex were Tata Motors up by 17.37 per cent, Yes Bank up by 8.13 per cent and Tata Steel was up by 6.75 per cent lifting the benchmark indices while on the flip side, Bharti Airtel was down by 3.15 per cent, Kotak Mahindra Bank down by 0.64 per cent and Power Grid was down 0.54 per cent.