Equity indices remain volatile, PSU banks gain but IT stocks suffer

Mumbai (Maharashtra) [India], Aug 27 (ANI): Equity benchmark indices swung between gains and losses during early hours on Tuesday, a day after the Reserve Bank of India decided to transfer Rs 1.76 lakh crore surplus to the government.
At 10:15 am, the BSE S&P Sensex was up by 172 points at 37,648 while the Nifty 50 edged higher by 57 points to 11,115.
The central bank's decision on Monday to transfer a record Rs 1.76 lakh crore dividend to the government is expected to provide the latter with a greater room for more stimulus measures to lift the economy.
At the National Stock Exchange, all sectoral indices were in the positive zone except for Nifty IT which fell by 1.35 per cent. Nifty PSU bank gained by 2.5 per cent, auto by 1.68 per cent and metal by 1.4 per cent.
Among stocks, Tata Motors was up by 4.9 per cent to Rs 116 per share. FMCG major Britannia gained by 4.6 per cent, UltraTech Cement by 3.4 per cent, UPL by 3.3 per cent and Tata Steel by 2.6 per cent.
However, IT stocks were on a downward swing. Infosys lost by 2.5 per cent, HCL Tech by 2.1 per cent and Tata Consultancy Services by 1.3 per cent. Pharma major Cipla, Kotak Mahindra Bank, HDFC Bank and Bajaj Finserv were the other prominent losers.
Meanwhile, Asian stocks rose in step with their global peers as signs US-China trade hostilities might be easing, for now, helped restore investor confidence.
The MSCI's broadest index of Asia Pacific shares outside Japan was up by 0.3 per cent, the Shanghai Composite Index advanced 1 per cent, South Korea's KOSPI added 0.8 per cent and Japan's Nikkei rose 1.1 per cent.
(ANI)