Sensex opens above 55,800, Nifty 50 nears 16700 resistance zone

Domestic markets continued their upward march as Monday’s trading session started. The BSE Sensex gained more than 250points or 0.50% to breach 55,800 levels while NSE Nifty 50 crossed 16,700 mark — a resistance zone. Bank Nifty was above 34,800 while India VIX gained 1.75% nearing 26 levels.

Broader markets were inching higher. HDFC Bank was the top gainer up 2.35%, followed by Infosys, Tech Mahindra, and ICICI Bank. In the red, Hindustan Unilever was the top laggard, followed by Reliance Industries, and Bajaj Auto.

Much-awaited LIC IPO is likely to hit the street in May now as the government plans to defer the mega public issue owing to jittery market conditions. Earlier last week, the capital markets regulator SEBI approved LIC’s IPO where the government is looking to sell 5% of its stake.

With the current set of approvals from SEBI, LIC can bring the IPO before May 12. The only additional requirement till then will be an addendum to the draft red herring prospectus on the insurer’s December quarter results. The government hopes to raise Rs 65,000-70,000 crore through the IPO.