By Vivek Kumar M and Bharath Rajeswaran
(Reuters) -Indian shares rose early in the session on Monday, in a broad-based rally led by financials, as a rebound in U.S. equities and China unveiling fresh measures to revive consumption aided global sentiment.
The Nifty 50 rose 0.38% to 22,482.8 as of 10:28 a.m. IST, while the Sensex gained 0.41% to 74,128.68.
Nine of the 13 major sectors logged gains. The broader small-caps and mid-caps also rose about 1% each.
“Coming out of the long weekend, the mood is of cautious optimism given the rally in the U.S. stocks,” said Vinit Bolinjkar, head of research at Ventura Securities.
However, Bolinjkar does not expect the trend to persist given the excessive negativity over the U.S. economy and looming tariff threat.
U.S. President Donald Trump has reiterated that reciprocal tariffs on several trading partners, including India, will be imposed on April 2.
A sharp rise in U.S. stocks on Friday and China’s latest policy measures lifted Asian stocks on Monday. [MKTS/GLOB]
Metals rose over 1% as China’s measures to revive its economy were seen aiding base metal prices.
High-weight financials added 1%, with top private lenders HDFC Bank and ICICI Bank rising 0.8% and 1%, respectively.
IndusInd Bank was the top Nifty gainer. It rose over 4% after the Reserve Bank of India said the private lender’s financial health remained stable.
The lender’s stock had plunged 28% last week after it reported discrepancies in its derivatives account.
Bucking the trend, information technology stocks dipped 0.2%, adding to last week’s losses amid concerns over the U.S. economy.
“Among names most at risk due to discretionary demand postponement in the U.S. were Infosys, Wipro and LTIMindtree,” analysts at CLSA said in a note. LTIMindtree lost 4.5%, while Infosys and Wipro fell 0.7% and 0.9%, respectively.
Among other stocks, Ola Electric lost 5% after two of its key vehicle registration service providers filed insolvency pleas against its unit.
(Reporting by Vivek Kumar M and Bharath Rajeswaran; Editing by Mrigank Dhaniwala, Janane Venkatraman and Eileen Soreng)
