The Sensex rose over 100 points today in early trade today but could not sustain gains. At 9:26 am, the Sensex was down 24 points at 33,327 while Nifty was flat at 10,233.Some selling pressure was seen in banking, IT and oil & gas stocks. The PSU banking stocks were under pressure with Nifty PSU Bank index falling 1.5 per cent. Among the banking stocks, Yes Bank was down 0.60 per cent while SBI fell over 1 per cent. ICICI Bank and Yes Bank were down nearly 0.5 per cent.
Asian shares rallied today after North Korean leader Kim Jong Un offered to stop nuclear and missile testing and US President Donald Trump agreed to a meeting that could come before May. South Korea's national security adviser made the announcement at the White House, after delivering a letter from the North Korean leader. MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.6 percent, while Australia firmed 0.4 percent.
Investors moods had already brightened a little after Trump pressed ahead with tariffs but offered conditional exemptions for Canada and Mexico, offering at least the hope that a full-blown global trade war could be averted. The White House said other countries could apply for exemptions on the 25 percent tariff on steel imports and 10 percent for aluminium, but details were sparse on when they might be granted and under what terms.
Several major trading partners have said they will respond with tariffs or direct action of their own.
Rising protectionism was a risk cited overnight by European Central Bank President Mario Draghi following the central bank's latest policy meeting. While the ECB did drop its easing bias as some expected, Draghi sounded in no rush to start unwinding stimulus.