Buying in heavyweights keeps indices in green
Sensex, Nifty rebound on heavy buying in Reliance Industries otherwise in a broad-based weak trading; However, correction in IT counters ahead of quarterly results limited the gains; RIL shares jump 3.78%, its mcap rises by Rs67,326 cr to Rs18.50 lakh cr
image for illustrative purpose
Mumbai Benchmark Sensex and Nifty advanced in a volatile trade on Monday, driven by heavy buying in index major Reliance Industries and unabated foreign fund inflows.
Bouncing back from Friday’s decline, the 30-share BSE Sensex gained 63.72 points or 0.10 per cent to settle at 65,344.17. During the day, it climbed 353.04 points or 0.54 per cent to 65,633.49. The NSE Nifty advanced 24.10 points or 0.12 per cent to end at 19,355.90. Correction in IT counters ahead of their quarterly earnings announcements estricted the gains.
“Indian equities faced broad-based weakness, but the benchmark managed to stay marginally positive with the support of strong buying in heavyweight stocks. The weakness was led by IT stocks, as the sector is set to kick off the Q1 result season with expectations of soft earnings. Additionally, cues from the US markets are unfavourable, as concerns about another rate hike persist despite expectations of a fast cooling of future US CPI inflation data,” said Vinod Nair, head (research) at Geojit Financial Services.
“Markets oscillated in a narrow range and ended marginally in the green amid mixed cues. The tone was positive in the early hours, thanks to the strong up move in Reliance however pressure in the other heavyweights capped the upside and trimmed the gains as the session progressed,” said Ajit Mishra, SV-P (technical research), Religare Broking Ltd.
