Sensex Soars 750 Pts As Investors Cheer Q3 GDP Data
Mumbai: The benchmark BSE Sensex surged nearly 750 points and NSE Nifty rallied over 232 points on Monday as investors cheered the domestic economy returning to positive territory after two quarters of contraction.
The 30-share BSE index briefly traded above the 50,000-mark during the mid-session, before ending at 49,849.84, showing a rise of 749.85 points or 1.53 per cent.
Likewise, the NSE barometer Nifty settled with a gain of 232.40 points or 1.60 per cent at 14,761.55.
Of the Sensex constituents, 29 closed with gains.
Top performers were PowerGrid, ONGC, Ultratech Cement, Asian Paint, Kotak Bank and Titan rising as much as 5.94 per cent.
After two consecutive quarters of contraction, the Indian economy has finally entered an expansionary path.
The Gross Domestic Product (GDP) grew 0.4 per cent in the October-December 2020 period compared with the same period a year back, data released by the National Statistics Office on Friday showed.
Analysts said, the high-frequency indicators were pointing towards the fact that the domestic economy is slowly entering the recovery path.
On Friday, the BSE Sensex had crashed 1,939.32 points or 3.80 per cent its worst one-day fall since May 4 last year. Similarly, the broader NSE Nifty had plunged 568.20 points or 3.76 per cent its biggest single-day drop since March 23 last year.
Foreign investors had sold equities worth Rs 8,295.17 crore on a net basis on Friday, as per exchange data.
Elsewhere in Asia, bourses closed significantly higher amid some stability in bond markets after last week’s turmoil. Further, progress in the US stimulus package also lent some support to investor sentiments globally.
Meanwhile, the global oil benchmark Brent crude was trading 0.88 per cent lower at USD 65.39 per barrel.
On the forex market front, the rupee dropped 8 paise to end at 73.55 against the US dollar.
Gold Price Rises Rs 241; Silver Jumps Rs 781
Gold prices on Monday rose by Rs 241 to Rs 45,520 per 10 grams in the national capital in line with the strong global bullion market trend, according to HDFC Securities.
The precious metal had closed at Rs 45,279 per 10 grams in the previous trading session.
Silver also jumped by Rs 781 to Rs 68,877 per kg, compared with the previous close of 68,096 per kg.
HDFC Securities Senior Analyst (Commodities) Tapan Patel said, “Spot prices for 24 karat gold in Delhi rose by Rs 241, in line with the recovery in global gold prices while rupee appreciation capped upside.”
The spot rupee was trading around 16 paise stronger against the dollar halting the three days during the day, HDFC Securities added.
In the international markets, gold was trading stronger at USD 1,753 an ounce, while silver was up at USD 26.90 an ounce.
Rupee Slips 8 Paise To Settle At 73.55 Against US Dollar
The rupee ended 8 paise lower at 73.55 (provisional) against the US dollar on Monday, weighed down by a spike in global crude oil prices and strengthening American currency.
At the interbank forex market, the local unit opened at 73.76 against the greenback and witnessed an intra-day high of 73.19 and a low of 73.76.
It finally ended at 73.55 against the American currency, registering a fall of 8 paise over its previous closing.
On Friday, the rupee had settled at 73.47 against the American currency.
The dollar index, which gauges the greenback’s strength against a basket of six currencies, advanced 0.22 per cent to 91.07.
Meanwhile, Brent crude futures, the global oil benchmark, rose 1.69 per cent to USD 65.51 per barrel.
On the domestic equity market front, the BSE Sensex ended 749.85 points or 1.53 per cent higher at 49,849.84, while the broader NSE Nifty advanced 232.40 points or 1.6 per cent to 14,761.55.
Foreign institutional investors were net sellers in the capital market as they offloaded shares worth Rs 8,295.17 crore on Friday, according to exchange data.
(This story is a compilation of PTI Stories)