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Sensex, Nifty Rebound on U.S. Shutdown Hopes as IT and Auto Lead

Progress toward a U.S. shutdown deal revived risk appetite, with sentiment still fragile.

Overview

  • Indian benchmarks snapped a three-day slide on Monday, with the Sensex up 319 points to 83,535 and the Nifty higher by 82 points to 25,574.
  • Gains were led by information-technology and auto majors, with Infosys, HCLTech, TCS and Tata Motors among notable movers, while a few heavyweights lagged.
  • Global risk tone improved as a U.S. funding deal advanced in the Senate; the Nasdaq jumped 2.3% and gold rose nearly 3%, though Asian follow‑through was mixed on Tuesday.
  • Flows were uneven: FPIs turned net buyers on Friday (about Rs 4,581 crore) but were provisional net sellers on Monday (about Rs 4,115 crore), while DIIs bought on both days (about Rs 6,675 crore Friday and Rs 5,805 crore Monday).
  • Early Tuesday trade in India was flat near 83,500 on the Sensex and 25,550 on the Nifty, with strategists expecting range‑bound action and volatility as Q2 results and key inflation readings approach.