Markets trade flat in early deals on Tuesday

Indian equity markets have made cautious start and are trading flat in early deals on Tuesday amid mixed global cues and selling pressure in stocks such as Power Grid, Tech Mahindra, Infosys and HCL Technologies. Sentiments were subdued as exchange data showed foreign institutional investors (FIIs) sold equities worth Rs 4,171.75 crore on a net basis on Monday.  Meanwhile, traders remained on sidelines ahead of November F&O expiry later in the day. On the BSE sectoral front, traders were seen piling up positions in Realty, Metal, Basic Materials, Industrials and Capital Goods, while selling was witnessed in FMCG, IT, TECK, Telecom and Oil & Gas. 

On the global front, Asian markets were trading mixed despite positive cues from the US markets overnight. Back home, in the stock specific development, Diamond Power Infrastructure rose as the company has received a letter of intent worth Rs 276.05 crore (excluding tax) from Adani Energy Solutions for the supply of 7,668 KM AL-59 Zebra Conductor for Khavda Project. 

The BSE Sensex is currently trading at 84911.75, up by 11.04 points or 0.01% after trading in a range of 84775.76 and 85032.34. There were 14 stocks advancing against 16 stocks declining on the index.

The broader indices were trading mixed; the BSE Mid cap index was up by 0.03%, while Small cap index down by 0.05%.

The top gaining sectoral indices on the BSE were Realty up by 1.11%, Metal up by 0.72%, Basic Materials up by 0.31%, Industrials up by 0.18% and Capital Goods up by 0.15%, while FMCG down by 0.41%, IT down by 0.37%, TECK down by 0.35%, Telecom down by 0.23% and Oil & Gas down by 0.21% were the top losing indices on BSE.

The top gainers on the Sensex were Bharat Electronics up by 1.00%, Reliance Industries up by 0.93%, Tata Steel up by 0.85%, Axis Bank up by 0.53% and SBI up by 0.47%. On the flip side, Power Grid down by 0.87%, Tech Mahindra down by 0.69%, Infosys down by 0.61%, HCL Technologies down by 0.49% and Tata MotorsPassenger down by 0.47% were the top losers.

Meanwhile, the Global Trade Research Initiative (GTRI) has said that the renewed push by India and Israel to restart free trade agreement (FTA) talks should be guided more by strategic cooperation in areas such as defence manufacturing, electronics, semiconductors, water and irrigation technology, precision agriculture, and cybersecurity than by gains in merchandise trade. GTRI said Israel is a high-income, technology-driven market of under 10 million people, limiting demand for Indian mass-market exports such as textiles, automobiles or general engineering goods.

In sectors where India is competitive -- agriculture, generics, steel, chemicals -- Israel is either self-sufficient, tightly regulated through quality and phytosanitary norms, or already offers tariff preferences to partners like the EU and the US. This keeps Indian products at a structural disadvantage and as a result, commerce remains concentrated in a few niche categories such as diamonds, rice and ceramic tiles.

GTRI Founder Ajay Srivastava said ‘For both countries, therefore, the value of the renewed FTA effort lies less in merchandise trade and more in strategic cooperation -- in defence manufacturing, electronics, semiconductors, water and irrigation technology, precision agriculture, cybersecurity, and frontier R&D.’ The two countries last week inked terms of references to formally start FTA talks again soon.

New Delhi and Jerusalem first opened FTA talks in 2010, held several rounds through 2012-13, and then allowed the process to drift after 2014 as both sides struggled over tariffs, standards and access for sensitive products. After nearly a decade of inactivity, the effort has been re-energised following a series of high-level exchanges in 2024-25, the two governments have finalised new Terms of Reference to relaunch negotiations.

India exported $2.1 billion in goods, led by cut and polished diamonds ($555 million), rice ($102 million), organic chemicals ($96 million), ceramic tiles ($81 million) and aircraft parts ($54 million). Imports from Israel reached $1.5 billion, dominated by diamonds ($333 million), electronics ($350 million), including integrated circuits ($117 million) and electronic components ($66 million), as well as fertilisers ($135 million), insecticides ($63 million), and machinery ($91 million).

The CNX Nifty is currently trading at 25955.20, down by 4.30 points or 0.02% after trading in a range of 25924.15 and 26005.45. There were 24 stocks advancing against 26 stocks declining on the index.

The top gainers on Nifty were Dr. Reddy's Lab up by 1.44%, Hindalco up by 1.11%, JSW Steel up by 1.10%, Reliance Industries up by 1.00% and Bharat Electronics up by 0.95%. On the flip side, Nestle down by 1.20%, Adani Enterprises down by 0.88%, Interglobe Aviation down by 0.80%, Tata Consumer down by 0.75% and SBI Life down by 0.73% were the top losers.  

Asian markets were trading mixed; Taiwan Weighted added 395.31 points or 1.47% to 26,899.55, Shanghai Composite strengthened 43.45 points or 1.12% to 3,880.22, KOSPI increased 8.29 points or 0.22% to 3,854.35 and Hang Seng advanced 184.5 points or 0.71% to 25,901.00. However, Nikkei 225 slipped 5.88 points or 0.01% to 48,620.00, Jakarta Composite plunged 43.86 points or 0.51% to 8,526.39, Straits Times fell 11.12 points or 0.25% to 4,485.51.