After a slow start in Tuesday’s session, the local equity recovered some losses due to low-level stock buying but continued to trade in the red. Sensex had dropped over 1,000 points, while the Nifty50 was at 16,850 level in early trade. At 12 noon, the BSE Sensex was at 57,084, down 406 points or 0.71 per cent. And, Nifty was down 94 points or 0.55 per cent at 17,054. Nifty saw a recovery during the day as it was around 80 per cent retracement of the previous rally from 16400 to 18350.

Asian stocks and US equity futures also decreased amid concerns about tightening monetary policy, geopolitical tension and unstableness on Wall Street. S&P 500 and Nasdaq 100 contracts also lost about 1 per cent. By the closing bell, markets raised over half a per cent, following firm recovery in the US markets and positive earnings. Initially, the benchmark stayed volatile; however, purchases in selected index majors from banking, auto and telecom space supported the index to inch higher in the day. The Nifty index also settled at 17,277, up by 0.75 per cent.