Sensex, Nifty likely to open lower; ICICI Bank, Axis Bank, Dr Reddy's, L&T Tech in focus

Indian benchmark indices are expected to open lower on Tuesday amid a consolidation after a record rally in the previous session.

Indian benchmark indices BSE Sensex and NSE’s Nifty 50 surged 1.4 percent to hit their new record highs on Monday after a decline in Q4 GDP growth increased the prospects of a 50 basis point interest rate cut by the Reserve Bank of India in the fiscal year 2019-20.

A CNBC-TV18 poll expects the central bank to cut repo rate by 25 basis points to 5.75 percent.

In intra-day trade, Sensex gained as much as 595 points to hit a record high of 40,309, surpassing the previous high of 40,125 hit on May 23 while Nifty rose 193 points to hit a fresh high of 12,103, crossing the previous high of 12,041, hit on May 23.

In global markets, shares in Asia inched higher and safe-haven assets gave up some overnight gains on Tuesday, as investors paused for breath after a volatile Wall Street session, but deeper concerns about growth have capped broader improvements in risk sentiment.

At 7.05 Am, SGX Nifty, an early indicator of the Nifty 50's trend in India, traded 37 points, or 0.31 percent, lower at 12,081, indicating a negative start for the Sensex and the Nifty 50.

Stocks to watch: ICICI Bank, Axis Bank, Dr Reddy's, L&T Tech in focus.