Sensex, Nifty Open Flat; Tata Steel Gains Post Earnings

Benchmark indices opened the day flat, after seeing weakness in the previous session, on account of the current impasse over government formation in Karnataka.

The Sensex was last seen trading higher by 52 points, while the Nifty was higher by 19 points. Tata Steel was seeing good gains, after its quarterly numbers beat estimates by a distance. Consolidated net profit at the steel major was placed at Rs 14,688 crore versus loss Rs 1,168 crore, largely on account of an exceptional gain at Rs 11,376 crore.

Another stock that reacted to numbers was JSW Steel. The shares were down 0.13 per cent at Rs 336. The steel major reported a consolidated net profit at Rs 2,879 crore versus Rs 1,008 crore, year-on-year. Revenue at the company was up 25 percent at Rs 20,817 crore versus Rs 16,656 crore (YoY).

Shares in PNB, which had slumped in trade on Wednesday, saw some modest recovery. The stock was last was changing hands at Rs 76, after some recovery in banking stocks.

JK Lakshmi was seeing buying support, after the company reported good quarterly numbers. The shares were up 3 per cent in trade, after the company said that net profits were down 17 percent at Rs 156 crore.

Meanwhile, markets across Asia were trading mixed. The Japanese Nikkei and the Hang Sang were trading higher, while the Shanghai Composite was trading with losses.

Volatility in the Indian markets is set to reduce following the election outcome in Karnataka. Markets are likely to now take cues from across the world and react to developments abroad. In the coming weeks, the RBI meeting to be held in early June is likely to keep the markets volatile. Any hint from the country's central bank on a hike in interest rates, would not be good for the Indian markets, which have performed well this year.

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