Domestic equity markets opened lower on Tuesday, with benchmark indices declining in early trade after gains in the previous session. Investor profit-booking, mixed global cues, caution among market participants and selling in select sectors weighed on sentiment at the opening.
The benchmark BSE Sensex opened 264.82 points, or 0.35 percent, lower at 76,224.14. The NSE Nifty 50 index also opened lower, declining 27.60 points, or 0.11 percent, to 24,004.10.
In the previous trading session on Monday, the Sensex had closed 1,073 points higher at 76,488, while the Nifty settled 312 points higher at 24,031.
Broader selling pressure was visible in early trade. Of the 30 Sensex constituents, eight stocks traded in positive territory while 22 opened lower. Among the 50 Nifty constituents, 14 advanced while 36 declined.
Analysts said investors initiated profit-booking following the sharp gains in the previous session, increasing pressure on banking, auto and consumer sector stocks.
Defence sector company Bharat Electronics Limited (BEL) was among the top gainers in early trade, with its stock opening about 0.53 percent higher. Select information technology stocks also opened with gains, including Tata Consultancy Services (TCS), Tech Mahindra and Infosys.
Telecom company Bharti Airtel was among the major laggards in early trade, opening about 0.81 percent lower. Blue-chip stocks including Reliance Industries, UltraTech Cement, ICICI Bank and HDFC Bank also traded lower. In the auto sector, Mahindra & Mahindra and Maruti Suzuki opened in negative territory.
According to market experts, investors are closely monitoring global economic signals, US interest rates, crude oil prices and geopolitical tensions. Ongoing tensions in West Asia and volatility in global markets are also affecting emerging markets. In addition, the activity of foreign institutional investors (FIIs) could play an important role in determining the direction of Indian markets.
