The key benchmark indices opened in red to continue their losing streak on Tuesday. However, Brent Crude prices have come off yesterday’s highs, which may support calming the unnerved sentiment during the day. At 09:16 IST, the Sensex was down 85.71 points or 0.16 per cent at 52,757.04, and the Nifty was down 33.20 points or 0.21 per cent at 15,830. About 1238 shares have advanced, 549 shares declined, and 91 shares are unchanged.

ONGC, Power Grid Corporation, HCL Technologies, NTPC and Tech Mahindra were among major gainers on the Nifty, while losers were Hindalco Industries, SBI Life Insurance, HDFC Bank, Hero MotoCorp and Eicher Motors.

In the broader markets, the BSE MidCap and SmallCap indices were also in the positive territory, up to 1 per cent higher.

Among individual stocks, Asian Paints was down over 1 per cent as Brent crude holds above $121/bbl. Antu Thomas, senior research analyst at Geojit Financial Services, said: “Paint stocks witnessed sharp correction in the market as rich valuation and significant rise in oil prices continued to drag the investor’s sentiment. TIO2, a derivative of crude oil is the key input in the manufacturing of paints. A surge in price will increase the cost of production and impact the company’s gross margins. Paint Company’s already taken 18% to 20% price hike in 9MFY22 to mitigate the risk of higher input prices. We expect the raw material inflationary trend to continue; albeit the rate of increase is expected to be moderate in Q4, to support the demand”

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Mohit Nigam, Head – PMS, Hem Securities, said: “The whole global market closed in the red yesterday, including the Indian market, which sank dramatically down and lost about 2 per cent, following a persistent rise in petroleum and feeble global cues.”

“Markets have been rocked by a sharp increase in crude oil prices, as investors fear more penalties against Russia. Furthermore, there is no sign that the two countries’ hostilities are diminishing. Prices for everything from gasoline to aluminum to wheat have risen dramatically, marking the most significant weekly increase in raw materials since the 1974 oil crisis. Russia’s growing isolation is cutting it off from a vital supply of energy, metals, and agriculture, prompting fears of long-term shortages and rising global prices. As the war between Russia and Ukraine pushed crude prices to multi-year highs around the world, the Indian rupee dropped to its lowest level ever versus the US dollar yesterday,” Nigam said.

Global Cues

Wall Street stocks plunged Monday in the latest rout following Russia’s attack on Ukraine as worries mount that spiking commodity prices will slow the economy. The Dow Jones Industrial Average dove 2.4 percent, a loss of nearly 800 points, to finish at 32,817.38, continuing last week’s retreat. The broad-based S&P 500 sank 3.0 percent to end at 4,201.09, while the tech-rich Nasdaq Composite tumbled 3.6 percent to 12,830.96.

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Tokyo stocks opened lower Tuesday as investors remained worried over surging oil prices and uncertainties surrounding the Russia-Ukraine crisis. The benchmark Nikkei 225 index dropped 1.22 percent or 307.51 points to 24,913.90, while the broader Topix index fell 1.17 percent or 21.04 points to 1,772.99. The dollar fetched 115.32 yen, up from 115.27 yen in New York Monday.

Shares ticked slightly higher in the opening minutes of trade in Hong Kong on Tuesday following two days of hefty losses, though traders remain on edge over the Ukraine war. The Hang Seng Index edged up 0.12 percent, or 24.76 points, to 21,082.39. The Shanghai Composite Index was flat, inching down 0.30 points to 3,372.55, while the Shenzhen Composite Index on China’s second exchange ticked up 0.25 percent, or 5.55 points, to 2,208.97.

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