Sensex climbs over 450 points in opening deals, Nifty reclaims 9,400-mark on Asian cues
The benchmark equity indices on the BSE and National Stock Exchange (NSE) opened nearly 1.5 per cent higher on Tuesday tracking gains in the broader Asian markets that rose tracking a late Wall Street rally as governments eased
At 9:15 am, the S&P BSE Sensex was up 468.39 points (1.48 per cent) at 32,183.74, while the Nifty 50 was at 9,432.10, up 138.60 points (1.49 per cent).
On Monday, the Sensex had declined 2,002.27 points (5.94 per cent) to settle at 31,715.35, while the Nifty 50 had ended below the 9,300-mark at 9,293.50, down 566.40 points (5.74 per cent).
On the Sensex, gains during the early trade on Tuesday were being led by Oil and Natural gas Corporation (ONGC), Bharti Airtel, ICICI Bank, IndusInd Bank, Axis Bank and Mahindra & Mahindra (M&M). Only Asian Paints, Titan Company and Ultratech Cement were trading in the negative territory. (see heatmap below)
Among the sectoral indices on the NSE, the Nifty Bank index was up over 1.5 per cent led by RBL Bank, Bandhan Bank, ICICI Bank and IndusInd Bank. The Nifty Financial Services index too was up over 1.5 per cent aided by Mahindra & Mahindra Financial Services, Cholamandalam Investment and Finance Company and SBI Life Insurance Company. Likewise, the Nifty Metal index was up nearly 1.5 per cent led by APL Apollo Tubes and Jindal Steel & Power.
Asian stocks rose on Tuesday, tracking a late Wall Street rally as governments eased coronavirus lockdowns while oil extended gains on expectations fuel demand would begin to pick up.
Brent crude rose 4.3 per cent to $28.37 a barrel, up for a sixth straight day, and US crude rose 1.38 per cent to $21.77 a barrel, as countries began loosening coronavirus restrictions and crude supply cuts took effect.
In reduced trade, with China, Japan and South Korea on holiday, Australia’s ASX 200 rose 1.26 per cent and Hong Kong’s Hang Seng climbed 0.66 per cent.
US stock futures rose 0.75 per cent.The rally followed late US gains with the S&P 500 ending up 0.42 per cent, driven by technology names including Microsoft, Apple and Amazon.Their strength overcame drops in airline shares of between 5 per cent to 8 per cent after legendary investor Warren Buffett said his Berkshire Hathaway had sold its carrier holdings.
MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.56 per cent.