As per provisional closing data, the barometer index, the S&P BSE Sensex, was down 110.64 points or 0.15% to 73,903.91. The Nifty 50 index shed 8.70 points or 0.04% to 22,453.30. Both the indices advanced over 2% in the past three trading sessions.

The broader market outperformed the benchmark indices. The S&P BSE Mid-Cap index added 1.14% and the S&P BSE Small-Cap index gained 1.28%.

The market breadth was strong. On the BSE, 2,847 shares rose and 1,004 shares fell. A total of 108 shares were unchanged.

The NSE's India VIX, a gauge of market's expectation of volatility over the near term, slipped 3.55% to 11.65.

Economy:

The seasonally adjusted HSBC India manufacturing purchasing managers’ index (PMI) climbed to a 16-year high of 59.1 in March, from 56.9 in February.

The notable improvement in operating conditions reflected stronger growth of new orders, output and input stocks as well as renewed job creation.

The HSBC India PMI climbed to a 16-year high on the back of the strongest increases in output and new orders since October 2020, parallel to the second-sharpest upturn in input inventories in the history of the survey. Employment returned to positive territory and firms scaled up buying levels. There was a mild pick-up in cost pressures during March, but customer retention remained a priority for goods producers who raised their charges to the least extent in over a year, the press release stated.

Buzzing Index:

The Nifty Auto index rose 1.07% to 21,614.25. The index gained 1.08% in the past trading sessions.

Mahindra & Mahindra (up 3.11%), Bajaj Auto (up 2.62%), Balkrishna Industries (up 1.97%), Bosch (up 1.96%) , Tata Motors (up 1.31%), MRF (up 1.3%), Exide Industries (up 1.27%), Apollo Tyres (up 1.18%), Ashok Leyland (up 0.97%) and Tata Motors-DVR (up 0.89%) advanced.

On the other hand, Hero MotoCorp (down 2.58%), Eicher Motors (down 0.69%) edged lower.

Ashok Leyland rose 0.97%. The company said that its total vehicle sales have declined by 4% to 22,866 units in March 2024 as compared with 23,926 units in March 2023.

Bajaj Auto added 2.62% after the company reported 25% increase in total auto sales to 3,65,904 units in March 2024 as compared with 2,91,567 sold in March 2023.

Atul Auto shed 0.30%. The company said that its total sales shed 0.82% in March 2024 to 3,128 units as against 3,154 units sold in March 2023.

Hero MotoCorp slipped 2.58% . The company said that its total sales fell 5.57% to 490,415 units in March 2024 as against 519,342 units sold in March 2023.

Stocks in Spotlight:

Servotech Power Systems was locked in an upper circuit of 5% after the company and Electra EV has collaborated for innovative EV charging technologies.

South Indian Bank slipped 3.95%. The private lender said that its gross advances jumped 11.44% to Rs 80,337 crore as of 31 March 2024 as against Rs 72,092 crore as of 31 March 2023.

CSB Bank added 2.56% after the bank's total deposits jumped 21.27% to Rs 29,719 crore as on 31 March 2024 from Rs 24,506 crore as on 31 March 2023.

Computer Age Management Services (CAMS) surged 6.52% after the company announced its subsidiary, CAMS Repository (CAMSREP), will handle the issuance of all digital insurance policies in India.

Mankind Pharma jumped 3.65% after the company’s board approved the sale of Over the Counter (OTC) business of the company to wholly owned subsidiary company on slump sales basis.

J.K Cement rose 1.48% after the cement maker announced that its board has approved increase in the borrowing limit of the company to Rs 12,000 crore from Rs 7500 crore at required time.

Aeroflex Industries gained 3.05% after the company said that its board has approved to acquire 100% of the issued and paid-up share capital of Hyd-Air Engineering from the existing shareholders of the investee company.

Global Markets:

Most of the Europe and Asia stocks advanced on Tuesday. Investors were awaiting for jobs data for further insight into the U.S. labour market.

U.S. stocks closed mostly lower on Monday to kick off the second quarter, pausing a rally that has recently brought all three indexes to fresh record highs.

US manufacturing grew for the first time in 1-1/2 years in March. The Institute for Supply Management (ISM) said on Monday that its manufacturing PMI increased to 50.3 last month, from 47.8 in February.