Sensex crawls back above 73k
Nifty closes above 22,100 on buying in IT stocks, positive macro data
Shortcovering
- BSE Sensex climbed 335.39 pts or 0.46% to 73,097.28
- 20 of Sensex-30 ending in the green
- During the day, Sensex jumped 602.41 pts or 0.82% to 73,364.30
- Nifty gained 148.95 pts or 0.68% to 22,146.65
- 37 of Nifty-50 settled higher
- Reliance shares settle on flat note
- BSE Small-cap gauge recovered 3.11%
- Mid-cap index rose 2.28%
- Fitch raised GDP growth forecast to 7% for FY25
- Mostly shortcovering propelled indices up
Mumbai: Benchmark Sensex rebounded 335 points, while Nifty closed above the 22,100 level on Thursday as buying in IT and capital goods shares helped broader markets recover from the previous day’s sharp losses.
The 30-share BSE Sensex climbed 335.39 points or 0.46 per cent to settle at 73,097.28 with 20 of its constituents ending in the green and 10 in the red. During the day, it jumped 602.41 points or 0.82 per cent to 73,364.30. The broader Nifty gained 148.95 points or 0.68 per cent to close at 22,146.65 as 37 of its components settled higher and 13 with losses. Sensex fell 906.07 points, or 1.23 per cent, while Nifty plunged by 338 points, or 1.51 per cent, to close below the 22,000 level on Wednesday due to heavy selling pressure.
“The market was able to recover half of last trading day’s sell-off as leverage-based square-off neutralised it, while institutional buying sustained the buoyancy. Wholesale Price Inflation (WPI) eased to a four-month low at 0.2 per cent in February, bringing ease to upcoming CPI trajectory, a relief for future rate cuts,” said Vinod Nair, head (research), Geojit Financial Services.
“Markets recovered after Wednesday’s fall and gained over half a per cent. Importantly, it was the rebound in the broader indices, which eased some pressure and aided strong market breadth,” added Ajit Mishra, SV-P (technical research), Religare Broking Ltd.
“Short-covering provided the much-needed fillip after Wednesday’s crash, as key indices rose sharply after early weakness, but quickly rebounded thereafter. Sharp gains in the US Dow Futures indicating a positive start also buoyed the local market sentiment. Recovery in mid- and small-cap stocks shows that money is waiting on the sidelines to enter the market post healthy correction,” Prashanth Tapse, senior V-P (research) at Mehta Equities Ltd.
