Indian stocks slump for third straight session

On Tuesday, Indian stocks slumped for the third straight session amid a decline in global markets, on fears of further monetary policy tightening by various central banks.

At 9.33am IST, Sensex traded at 57,859.41 points, down 131.70 points or 0.23 per cent, whereas Nifty traded at 17,201.15 points, down 39.85 points or 0.23 per cent. Among the Nifty 50 companies, 37 declined, 12 advanced, and one traded steady, National Stock Exchange data showed.

Meanwhile, the rupee has been hovering around its all-time low against the greenback, amid the flight of foreign investments.

This morning, the Indian currency opened at 82.35, against Monday's close of 82.32.

"The global environment continues to be weak for markets, with concerns of a US recession and possible hard landing rising," said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

However, Vijayakumar is optimistic about the Indian financial markets. He believes the significant factor contributing to this is that foreign institutional investors (FIIs) selling in India are getting completely absorbed by domestic institutional investors and retail buying.

"So even if FIIs continue to sell on a rising dollar and US bond yields, that is unlikely to have a significant impact on markets. More importantly, the fundamentals of the Indian economy and corporates continue to be sound," Vijayakumar added.

Further, the results for the second quarter have started off well with decent numbers from TCS which have beaten various estimates on most of the parameters.

• India: Rupee depreciates to new lifetime low; stocks decline for sixth day