Stocks gain momentum
Investors became richer by Rs 1.57 lakh crore on Thursday as a nearly 400 points rally in the Sensex gauge lifted domestic sentiment
- Published 27.09.19, 12:50 AM
- Updated 27.09.19, 12:50 AM
- a min read
The BSE Sensex jumped 396 points on Thursday, propelled by bank, auto and energy stocks, as the September series derivatives expired amid positive global cues. Global markets were galvanised by US President Donald Trump’s comments that a trade deal with China could happen sooner than expected.
Investors became richer by Rs 1.57 lakh crore on Thursday as a nearly 400 points rally in the Sensex gauge lifted domestic sentiment.
Domestic equities rose as September futures and options expired, traders said, adding that investors remain optimistic ahead of the Reserve Bank’s policy review meet next week.
After rallying 565 points, the Sensex ended 396.22 points, or 1.03 per cent, higher at 38989.74. The broader NSE Nifty soared 131 points, or 1.15 per cent, to close at 11571.20.
Top gainers in the Sensex pack included Vedanta, M&M, ICICI Bank, Tata Steel, ONGC, Maruti, IndusInd Bank, L&T, Hero MotoCorp, Bajaj Finance, Kotak Bank and Reliance, surging up to 6.47 per cent. However, Yes Bank, Infosys, HUL, HCL Tech, HDFC, NTPC, PowerGrid and TCS dropped up to 4.93 per cent.
“Momentum was broad-based with auto, banks and metals leading the gains on expectations of better demand during the festive season. This positive trend is likely to be maintained in combination with the ease in trade war and domestic stimulus,” said Vinod Nair, head of research, Geojit Financial Services.
Sectorally, BSE metal, realty, oil and gas, auto, energy, basic materials, capital goods, bankex and finance indices rallied up to 4.20 per cent. IT and tech indices finished lower. The broader BSE midcap and smallcap indices settled up to 0.92 per cent higher.
In Asia, Hang Seng, Nikkei and Kospi ended significantly higher, while the Shanghai Composite Index settled in the red. European shares remained solidly in the black after the Chinese commerce ministry said the US and China were making preparations to ensure “positive progress” is made during the next round of negotiations.
On the currency front, the rupee appreciated 8 paise to 70.95 against the dollar (intra-day). Brent crude futures inched up 0.26 per cent to $62.65 per barrel.