Stock markets rebound in early trade amid rally in IT counters, firm global trends

Mumbai: Benchmark indices Sensex and Nifty rebounded in early trade on Monday, driven by a rally in IT stocks and firm global market trends.

The 30-share BSE Sensex climbed 218.44 points to 85,450.36 in early trade. The 50-share NSE Nifty went up by 69.4 points to 26,137.55.

From the Sensex firms, Tech Mahindra, Infosys, HCL Technologies, Tata Consultancy Services, HDFC Bank and Maruti were among the biggest gainers.

However, Bharat Electronics, Eternal, Mahindra & Mahindra and Tata Motors Passenger Vehicles were among the laggards.

In Asian markets, South Korea's Kospi and Hong Kong's Hang Seng index were trading in positive territory while Shanghai's SSE Composite index quoted lower.

US markets ended higher on Friday.

"Nifty slipped on Friday, weighed down by weak global cues and renewed anxiety over overheated AI and tech valuations, leaving the index looking fragile after a jittery close. At the same time, Wall Street’s AI-driven resurgence, optimism around a possible US-India trade deal, easing inflation at 0.25 per cent in October, supportive comments from the New York Fed, and tumbling crude prices offer meaningful tailwinds for India," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.

Foreign institutional investors (FIIs) offloaded equities worth Rs 1,766.05 crore on Friday, however, Domestic Institutional Investors (DIIs) bought stocks worth Rs 3,161.61 crore, according to exchange data.

Brent crude, the global oil benchmark, dipped 0.10 per cent to USD 62.50 per barrel.

On Friday, the Sensex declined 400.76 points or 0.47 per cent to settle at 85,231.92. The Nifty dropped 124 points or 0.47 per cent to 26,068.15.