Sensex surges 584 pts to close above 51k mark
Mumbai: Benchmark BSE Sensex rallied 584 points to close above the 51,000-level in a volatile session on Tuesday as private banks, IT and consumer goods stocks advanced amid positive global cues. The 30-share BSE barometer ended 584.41 points or 1.16 per cent higher at 51,025.48 with 19 of its constituents ending in the green.
The index had opened higher at 50,714.16 but pared gains to hit an intra-day low of 50,396.10 in mid-session due to profit booking in energy and infra stocks. However, positive global cues, a fall in US bond yields and gains in US Futures helped the index rebound and close above the 51,000 level.
The broader NSE Nifty surged by 142.20 points or 0.95 per cent to close at 15,098.40 with 24 of its stocks advancing. The 50-issue index touched a high of 15,126.85 and a low of 14,925.45 in the day trade.
"In a volatile day, the Indian market ended with minor positivity amid mixed global cues. Barring private banks, IT and consumer stocks, all other sectors were most impacted. Fall in US bond yields and stronger US equity futures aided Asian markets to recover from earlier losses," Vinod Nair, Head of Research at Geojit Financial Services said.
Binod Modi, Head - Strategy at Reliance Securities commented: "Domestic equities extended gains for the second consecutive day mainly aided by favourable cues from Asian markets. However, it is financials (ex-PSU banks), which majorly supported the market's rally today. Barring financials and IT, most of the key sectoral indices traded lower."
Among Sensex stocks, Kotak Bank rose the most by 3.35 per cent. HDFC Bank spurted by 2.85 per cent while mortgage major HDFC advanced 2.68 per cent. ICICI Bank rose by 2.8 per cent. Tech Mahindra, Bajaj Finance, Asian Paints, Infosys, HUL and TCS also gained.
On the other hand, PowerGrid, ONGC, NTPC and Dr Reddy's were among the laggards.In the broader market, midcap and smallcap indices declined by 0.66 per cent and 0.41 per cent as investors opted to book profit after the recent run-up in these stocks.
Among sectoral indices, BSE bankex, finance, IT, teck, consumer durables and FMCG indices ended with gains, while metal, oil and gas, utilities, realty and power were in the red. Ajit Mishra, VP - Research, Religare Broking said, "Markets traded volatile and managed to settle with decent gains in continuation to the prevailing consolidation phase. We expect the prevailing consolidation phase to end soon however a lot depends on the performance of the global markets."
Elsewhere in Asia, bourses in Hong Kong and Tokyo ended on a positive note, while Shanghai and Seoul were in the red.Stock exchanges in Europe were trading with gains in mid-session deals. Meanwhile, the global oil benchmark Brent crude was trading 0.72 per cent higher at USD 68.73 per barrel.