The domestic indices traded with deep cuts in early trade, mirroring the weakness in global markets. The continued escalation of geopolitical tensions between Russia and Ukraine depressed the investor community. All sectoral indices on the NSE are trading in the red.
The barometer index, the S&P BSE Sensex, was down 1,021.46 points or 1.77% to 56,662.13. The Nifty 50 index slumped 289.80 points or 1.68% to 16,916.85.
The NSE's India VIX, a gauge of market's expectation of volatility over the near term, surged 18% to 27.03.
In the broader market, the S&P BSE Mid-Cap index declined 1.47% while the S&P BSE Small-Cap index lost 2.10%.
The market breadth was weak. On the BSE, 334 shares rose and 2,403 shares fell. A total of 58 shares were unchanged.
Stocks in Spotlight:
Adani Enterprises fell 2.16% to Rs 1647.90. The Adani Group announced it has signed a non-binding Memorandum of Understanding (MoU) with Ballard Power Systems to evaluate a joint investment case for the commercialization of hydrogen fuel cells in various mobility and industrial applications in India. Under the MoU, both parties will examine various options to cooperate, including potential collaboration for fuel cell manufacturing in India.
Vedanta declined 2.21% to Rs 345.90. The company announced that it has made an oil discovery in its exploratory well in Rajasthan's Barmer district. The company holds 100% participating interest in the block.
Indiabulls Housing Finance was up 0.30% to Rs 167.25. The company informed that the Enforcement Directorate has sought some information regarding certain clients. The company and its officials have provided the data of clients to Enforcement Directorate.
Global Markets:
Asian stocks were trading lower on Tuesday as tensions surrounding Russia and Ukraine continue to keep investors on edge.
Russian President Vladimir Putin reportedly ordered forces into two breakaway regions of eastern Ukraine, following a Monday announcement that he would recognize their independence. After that development, the White House responded, with U.S. President Joe Biden ordering sanctions against the separatist regions of Ukraine.
U.S. markets were closed for a holiday on Monday.
Oil jumped to a seven-year high as Europe's eastern flank stood on the brink of war after Russian President Vladimir Putin ordered troops into breakaway regions of eastern Ukraine.
