The Indian equity benchmarks staged a gap up opening on Tuesday led by gains in ICICI Bank, Reliance Industries, HDFC, Tata Consultancy Services, Bajaj Finance and Larsen & Toubro amid positive cues from other Asian markets. Asian shares were trading higher with Japan’s Nikkei up 0.78 per cent, Straits Times up 0.58 per cent, Hang Seng up nearly 2 per cent and Taiwan Weighted up 0.75 per cent.
Overnight, a gauge of global stocks closed at a record on Monday and U.S. Treasury yields held above five-month lows touched last week as investors looked for signs on whether the Delta variant of the COVID-19 coronavirus could hamper economic growth.
Last week, a bond market rally pushed the yield of the benchmark 10-year U.S. Treasury note to a five-month low of 1.25 per cent as investors worried that climbing cases of the variant could slow the economic recovery. The yield had risen to as high as 1.78 per cent in March as rising vaccination rates fed expectations for growth.
Back home, buying was visible across sectors as all the 11 sector gauges compiled by the National Stock Exchange were trading higher led by the Nifty Realty index’s over 1 per cent gain.