By Vivek Kumar M and Bharath Rajeswaran
(Reuters) -India’s benchmark indexes eked out gains in early trades on Monday, helped by financial services and metal stocks, even as U.S. tariff uncertainties loomed.
The Nifty 50 gained 0.35% to 22,632.2, while the Sensex rose 0.39% to 74,618.54 as of 10:20 a.m. IST.
Nine of the 13 major sectors rose. The broader smallcaps fell 0.5%, while the mid-caps traded flat.
“While the worst seems to be behind in terms of economic growth and earnings, markets will likely see only a gradual recovery,” said analysts led by Sunil Koul of Goldman Sachs.
“Volatility could remain elevated in the near-term due to uncertainty on reciprocal tariffs that could potentially impact India meaningfully.”
This was reflected in the volatility gauge India VIX’s 3% rise on the day.
India is working to secure a bilateral trade deal with the U.S. after President Donald Trump called out India’s high tariffs on several occasions.
Most Asian markets declined, with the MSCI Asia ex Japan slipping 0.9%, as China’s consumer price index fell at the sharpest pace in 13 months in February, adding to growth worries from a fading U.S. economy and an escalating global trade war. [MKTS/GLOB]
Back home, heavyweight financials rose 0.5%, with Bajaj Finance and ICICI Bank gaining around 2% and 1%, respectively.
Metal stocks such as Hindalco, Tata Steel and JSW Steel climbed about 1.5% each.
Jefferies said any safeguard duty on steel imports to India could boost steel prices, supporting margins and valuations of the three companies.
IndusInd Bank shed around 3%, leading the list of Nifty 50 losers.
The private lender received approval from the Reserve Bank of India to reappoint Sumant Kathpalia as its chief executive officer for one year, short of the board’s three-year term recommendation.
(Reporting by Vivek Kumar M and Bharath Rajeswaran in Bengaluru; Editing by Sumana Nandy and Mrigank Dhaniwala)
