The NSE Nifty was up by 0.38 per cent, or 84.30, to 22,416.95 points, while the BSE Sensex was at 73,917.72, up by 0.57 per cent, or 412.78 points. A total of 3,216 stocks were actively traded; 897 advanced, 2,238 declined, and 81 stocks remained unchanged. At 9.30 am on Tuesday, 51 stocks hit a 52-week high, and 99 stocks hit a 52-week low.

V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services, said, “The dominant near-term trend in the market now is the correction in the broader market, particularly the small caps. The small cap index is 7.8% down from the peak and this correction is likely to continue since the valuations are even now excessive.

The regulator SEBI has sent a clear message about the frothy valuations in the small-cap segment, and therefore, regulatory actions are likely going forward. Redeemments from small-cap funds can add to the downside. Quality large caps will bounce back after a correction, but small caps are unlikely to bounce back in the near term.PSE stocks that have run up too much too fast are also likely to face selling pressure.

Major gainers on the NSE at 9.30 am include TCS (2.26%), Tech Mahindra (0.93%), Infosys (0.84%), Wipro (0.60%), and HCL Tech (0.56%). Significant losers include ITC (-2.11%), Coal India (-1.48%), NTPC (-1.35%), Hindalco (-1.29%), SBI (-1.18%)

BSE Smallcap was down by 1.16% and BSE Midcap was down by 0.37%