Twitter
Advertisement

Sensex up 241 points to close at two-month high, Nifty reclaims 8,300-mark

The market performed well due to a positive start on the earnings season and firm Asian cues.

Latest News
article-main
FacebookTwitterWhatsappLinkedin

Extending Tuesday's rally, benchmark Sensex on Wednesday surged nearly 241 points to close at a two-month high of 27,140 and Nifty reclaimed the 8,300-level on widespread buying triggered by a positive start of the earnings season and firm Asian cues. Investors cheered better-than expected Q3 numbers in IndusInd Bank along with bullish Asian stocks ahead of US President-elect Donald Trump's news conference later in the day that will give his policy insight.

Besides, investors widened their bets on optimism that upcoming general budget -- to be unveiled next month -- would contain incentives for corporates, which will help boost the economy. Anand James, Chief Market Strategist, Geojit BNP Paribas Financial Services Ltd, said, "Indian stocks opened on a firm note as banking stocks were propped up by IndusInd Bank as well as South Indian Bank's results which lent positivity at the start of Q3 season...metal sector got a shot in the arm following reports of reduction in Chinese production." IT stocks remained on the back foot ahead of US President elect Donald Trump's first press conference scheduled in the day, in the backdrop of reintroduction of bill on visa restrictions, James added.

The 30-share Sensex resumed higher at 26,978.44 and quickly breached the 27,000-mark to hit a high of 27,174.87 before winding up at 27,140.41, scoring a notable rise of 240.85, or 0.90%. The Sensex had closed at 27,517.68 on November 10 last year. The NSE Nifty also climbed 92.05 points, or 1.11%, to end at 8,380.65 after trading between 8,389 and 8,322.25. (the key index had closed at 8,525.75 on November 10, 2016). On Tuesday, IndusInd Bank reported a healthy growth in its net profit by 29% and the Net Interest Income increased by 34% despite cash crunch created by demonetisation, as investors negated apprehension in banking sector, lapping it up by 2.40%. The broader markets outperformed the headline indices with gains covering in metal, banks, finance, capital goods, utilities and power sectors, as IT sectors incurred profit- booking on caution as investors awaiting the key quarterly results of corporates TCS and Infosys.

Meanwhile, Midcap and Smallcap shares also traded with substantial gains. Overseas, Asian stocks ruled higher ahead of the first address of US President-elect Trump. Markets are hoping for some concrete views from him on policy and a checklist of his priorities as he meets the press today. South Korea and Hong Kong gained 1.47% and 0.84%, respectively while Japan's Nikkei 225 Average settled 0.33% higher. China ended lower by 0.79%. European shares trading mixed with London FTSE gained 0.15%, while CAC and Dax down by 0.60% to 0.41%. Meanwhile, US equities closed higher yesterday, as the Nasdaq composite notched a fresh record high. Closer home, foreign portfolio investors (FPIs) sold shares worth a net Rs 21.20 crore yesterday, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) bought shares worth a net Rs 253.36 crore yesterday, as per provisional data. In broader markets, the BSE Mid-Cap index provisionally rose 1.37%.

The BSE Small-Cap index provisionally advanced 0.98%. Both these indices outperformed the Sensex. Of the 30-share Sensex pack, 23 scrips ended higher while only 7 closed lower. Major gainers were Coal India 5.41%, Tata Steel 3.99%, Lupin 2.20%, L&T 1.91%, ICICI Bank 1.79%, Power Grid 1.69%, HDFC Bank 1.67%, SBI 1.63%, Sun Pharma 1.47%, Axis Bank 1.39% and Maruti 1.35%. However, Bajaj Auto fell by 0.85% followed by ITC 0.56%, reliance 0.28%, ONGC 0.18% and Infy 0.16%. Among BSE sectoral and industry indices, metal rose by 4.42% followed by bankex 2.40%, finance 2%, capital goods 1.39%, utilities 1.08%, power 1% and industrials 0.97%, while IT fell by 0.02%. The market breadth remained positive as 1,738 shares ended higher, 1,071 closed lower while 161 ruled steady. The total turnover on BSE amounted to Rs 3,637.32 crore, higher than turnover of Rs 2,820.43 crore registered during the previous trading session.

Find your daily dose of news & explainers in your WhatsApp. Stay updated, Stay informed-  Follow DNA on WhatsApp.
Advertisement

Live tv

Advertisement
Advertisement