Equity benchmarks notched up solid gains on Monday after a two-session sliding streak as healthy growth projections in the Economic Survey and supportive global cues enthused investors.
A robust recovery in the rupee further bolstered sentiment, traders said.
The 30-share BSE Sensex opened on a firm footing and kept its momentum throughout the session. It finally closed at 58,014.17, clocking a gain of 813.94 points or 1.42%.
Likewise, the broader NSE Nifty rallied 237.90 points or 1.39% to end at 17,339.85.
Tech Mahindra topped the Sensex gainers’ chart, climbing 4.88%, followed by Wipro, Bajaj Finserv, Infosys, SBI, PowerGrid and Reliance Industries.
Only three counters closed in the red — IndusInd Bank, Kotak Bank and HUL, shedding up to 3.51%.
The Economic Survey on Monday said India’s economy is expected to grow by 8-8.5% in the fiscal beginning April 1 and is well placed to meet the future challenges on the back of widespread vaccine coverage, supply-side reforms and easing of regulations.
The Economic Survey 2021-22, tabled by Finance Minister Nirmala Sitharaman in Parliament, expects the economy to grow by 9.2% during the current financial year, indicating a recovery to the pre-pandemic level.
The economy had contracted by 7.3% in 2020-21 on account of the impact of the COVID-19 pandemic and subsequent nationwide lockdowns to check the spread of coronavirus.
“Taking positive cues from global markets and favourable takeaways from the Economic Survey report, the market rallied ahead of the Budget day with all major sectors in the green. The major macro indicators of the Survey gave confidence that the country is well placed to face future challenges with GDP growth for FY23 projected at 8-8.5%.
“Global markets turned positive backed by gains in the US market as investors ignored geopolitical disturbances and turned their eye towards strong earnings numbers from tech firms,” said Vinod Nair, Head of Research at Geojit Financial Services.
Ajit Mishra, VP – Research, Religare Broking Ltd, said participants will now be closely eyeing the Union Budget.
“The main focus would be on the GDP growth numbers, fiscal deficit target and disinvestment plans. Besides, sector-specific announcements and any relief on the taxation front will also be on participants’ radars. At the same time, corporate earnings and auto sales numbers would continue to induce stock-specific volatility,” he noted.
Barring metal, all BSE sectoral indices closed higher, led by realty, IT, teck, consumer durables, energy and auto.
In the broader markets, the midcap and smallcap gauges spurted up to 1.76%.
World markets shrugged off Russia-Ukraine tensions and inflation concerns, but remained on course for their worst monthly show in five years.
Elsewhere in Asia, bourses in Hong Kong and Tokyo finished with gains.
Markets in China and South Korea were closed for a holiday.
Stock exchanges in Europe were trading on a firm note in mid-session deals.
Meanwhile, international oil benchmark Brent crude rose 0.86% to $90.80 per barrel. The rupee surged 42 paise to close at 74.65 against the US dollar on Monday, supported by positive domestic equities and improved risk appetite.
Foreign institutional investors (FIIs) remained net sellers in the capital markets, pulling out Rs 5,045.34 crore Friday, as per provisional data.
For all the latest Business News Click Here
For the latest news and updates, follow us on Google News.
Denial of responsibility! NewsBit.us is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.
