Equity benchmark indices witnessed fluctuating movements in early trade on Monday, tracking mixed trends in global markets. Opening positively, the 30-share BSE Sensex gained 52.48 points or 0.07%, reaching 71,647.97 points in early trade. However, it later retreated, dropping 147.85 points or 0.21% to 71,447.64 points.
Similarly, the broader Nifty initially rose 30.70 points or 0.14% to 21,813.20 points before declining 44.60 points or 0.20% to 21,737.90 points.
Among the Sensex pack, Wipro, HCL, Tech Mahindra, and Infosys emerged as major gainers, while PowerGrid, Hindustan Unilever, Reliance, Bharti Airtel, and ICICI Bank were among the laggards.
V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said that rising US bond yields may trigger selling from foreign institutional investors.
So, the tug of war between the bulls and the bears is likely to continue. Apart from positive economic cues, a major factor supporting the market is the sustained flows to the market through mutual funds. However, the frothy valuations of the broader market are a matter of concern. From the long-term perspective, safety is in large-caps, he added.