Sensex, Nifty close marginally lower on Tuesday amid weak global cues

New Delhi: Paring some of the losses in early trade, Indian stock indices closed marginally lower on Tuesday tracking positive cues from global markets. Sensex closed at 61,702.29 points, down 103.90 points or 0.17 per cent, whereas Nifty closed at 18,385.30 points, down 35.15 points or 0.19 per cent. Sensex and Nifty`s intraday low was 61,102 points and 18,202 points respectively."Global markets fell (on Tuesday) after the Bank of Japan unexpectedly changed its ultra-dovish stance and tweaked its bond yield controls - a move that will allow long-term interest rates to rise more," said Deepak Jasani, Head of Retail Research, HDFC Securities, adding that low market volumes have led to higher intraday volatility in the financial markets.

Among the Nifty 50 stocks, SBI Life, Eicher Motors, UPL, Tata Motors, and Hindustan Unilever were the top five losers. In contrast, Adani Enterprises, TCS, Reliance, Axis Bank, and IndusInd Bank were the top gainers, National Stock Exchange data showed.The data showed that the Nifty sectoral indices, barring Nifty IT, Nifty metal, and Nifty oil and gas, all traded lower during the session.

"The Bank of Japan shocked global markets in a totally unexpected move by raising the upper band limit for the 10 year yield to 50 bps, which is seen as a step towards a hawkish policy shift. This has aggravated the sell-off in the global market, which was already risk-averse due to mounting recessionary fears following the Fed`s comment," said Vinod Nair, Head of Research at Geojit Financial Services.

Against this backdrop, Nair said the US GDP numbers, expected to be released on Thursday, would provide a picture of the strength of the US economy. Meanwhile, Rupee closed the day at 82.76 per US dollar, against Monday`s close of 82.71.The range for the rupee is now narrow, and is expected between 82.50-82.95 with an undertone of weakness, said Jateen Trivedi, VP Research Analyst at LKP Securities.