Share markets in India are trading on a positive note, tracking overnight gains in Wall Street indices.

Buying interest is seen in index heavyweights Infosys, Reliance Industries and HDFC Bank. Reliance Industries gained 2% after the company announced that KKR will invest Rs 55 billion for 1.28% stake in Reliance Retail.

The BSE Sensex is trading up by 219 points, up 0.6%, at 38,000 levels.

Meanwhile, the NSE Nifty is trading up by 61 points.

HCL Technologies and Infosys are among the top gainers today.

The BSE Mid Cap index is trading up by 0.3%.

The BSE Small Cap index is trading up by 0.7%.

On the sectoral front, gains are largely seen in the energy sector and realty sector.

Telecom stocks are trading deep in the red with Bharti Airtel falling over 6%.

US stock futures are trading mixed today. Nasdaq Futures are trading down by 17 points (down 0.1%), while Dow Futures are trading up by 161 points (up 0.6%).

The rupee is trading at 73.58 against the US$.

Gold prices are trading down by 1% at Rs 49,883 per 10 grams.

Even with the recent volatility in prices, gold and silver remain among the best-performing commodities this year to combat the fallout from the coronavirus pandemic.

So, is it time to book profits in gold and silver?

In news from the mutual fund's space, the markets regulator on Tuesday said it would tweak norms for debt mutual funds (MFs) to improve liquidity and help schemes meet redemption requests at a short notice.

The guidelines could mandate all debt schemes to hold a certain percentage of their portfolios in liquid assets and conduct regular stress tests to assess their liquidity profile. An additional transaction cost could be levied for redemption in schemes that have illiquid papers.

Addressing the industry at Association of Mutual Funds in India's (Amfi's) 25th AGM, market regulator's chairman Ajay Tyagi said the regulator was facilitating the establishment of an expert committee to frame a stress testing methodology encompassing liquidity, credit, and market risks for all open-ended debt MF schemes.

The panel will design a framework to determine the minimum asset allocation required in liquid assets, factoring in the nature of the scheme's assets, type of investors, the outcome of stress testing, and minimum redemption requirement during gating.

Liquid schemes are currently required to hold a minimum of 20% liquid assets.

In order to boost repo trading in corporate bonds, the regulator is planning to have a limited purpose central clearing corporation for guaranteed settlement of tri-party repo trades, in all investment-grade bonds.

It is also considering a back-stop facility, by which an entity could trade in relatively illiquid investment-grade corporate bonds and be readily available in times of stress to buy such bonds from various participants in the secondary market.

Speaking of mutual funds, on September 11, the capital markets regulator issued a circular directing multi-cap scheme to deploy at least 25% each in large-, mid-, and small-caps. At present, such schemes manage Rs 1.47 trillion in assets.

Assuming every fund rebalances, the circular is expected to trigger a move of around Rs 280 billion from large caps to small caps.

Richa Agarwal, lead smallcap analyst at Equitymaster, believes this move would be net positive for select small cap stocks. As per Richa, there could be a speculative rally across small caps.

Moving on to stock-specific news...

Hexaware Technologies is among the top buzzing stocks today.

Shares of the company hit a fresh 52-week high of Rs 468.95 on the BSE after the company's promoter accepted discovered delisting price of Rs 475 per share.

"The acquirer and promoter have accepted the discovered price of Rs 475 per equity share as the final/exit price for delisting offer," the IT services firm said in a public announcement.

HT Global IT Solutions Holdings, the offshore investment vehicle of Baring Private Equity Asia, holds the 62.3% stake in Hexaware, had fixed the indicative offer price at Rs 285 apiece for the proposal.

Hexaware Technologies' share price is presently trading up by 1.6%.

Market participants are also tracking Tata group stocks, a day after Shapoorji Pallonji Group, owned by the billionaire Mistry family told the Supreme Court (SC) that it would exit Tata Sons.

The Mistry family said separation from the Tata group was necessary due to the potential impact the ongoing litigation could have on livelihoods and the economy. The Mistry family owns 18.4% in Tata Sons and is its largest minority shareholder.