Sensex rises for 5th day, gains 187 points

Sensex rises for 5th day, gains 187 points

MUMBAI [Maha Media]: Extending its gains to the fifth straight session on Tuesday, BSE barometer Sensex rose 187 points, led by gains in software major Infosys and financial stocks, disregarding weak global cues and surging coronavirus cases. Easing tensions between India and China did help investor sentiment.

Both benchmark indices Sensex and Nifty settled at closing levels last seen on March 6.

“Benchmark indices were volatile in trading today, after swinging from losses to end the day flat, with a positive bias. This was in spite of negative global cues, due to renewed uncertainty regarding economic recovery and delay in complete opening up of economies from lockdowns,” said Vinod Nair, Head of Research at Geojit Financial Services.

“These uncertainties regarding the sustainability of the market rally was visible in the Indian markets also but were offset by gains in IT and financials Index. Any impact seen on momentum, which has been driving the market along with liquidity, can lead to nervousness in the markets and investors are advised to watch out for the same,” added Nair.

The 30-pack Sensex, after briefly slipping into the red zone during the day, rose 187 points to end at 36,675 while peer Nifty climbed 36 points to shut shop at 10,800.

A total of 17 Sensex stocks closed higher. Infosys contributed more than half to Sensex’s total gains as it rose 4.01 per cent. Consumer goods financier Bajaj Finance rose 7.84 per cent after the recent business updates suggested things are not as bad for the non-banking finance companies (NBFC) as previously thought.

Private lenders ICICI Bank and Axis Bank rose 3.84 per cent and 3.09 per cent, respectively, while HDFC climbed 0.96 per cent.

NSE’s India Vix fell for the fifth day in a row. It dropped 0.07 per cent to 25.18.

Despite the gains, the market breadth was neutral, as gainers and losers were almost equal on the BSE.

Broader markets were in sync with benchmark, with BSE midcap and smallcap indices rising 0.58 per cent and 0.57 per cent, respectively.

BSE IT index was the top sectoral gainer as it advanced 2.10 per cent. BSE Finance followed next with a 1.73 per cent gain.

Oil & Gas index turned out to the worst loser for the day as it shed 2.42 per cent.

Suzlon Energy hit 5 per cent lower circuit limit after it posted a net loss of Rs 824 crore for the quarter ended March 31. It had posted a net loss of Rs 293 crore in the corresponding quarter last year.

Oil-to-telecom conglomerate Reliance Industries (RIL) shed 1.48 per cent on profit booking after the stock logged a new high in the previous session.

Bandhan Bank jumped 10.65 per cent after the lender reported healthy loan and deposit growth in the April-June quarter on a yearly basis despite nationwide Covid-19-induced lockdown.
 

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