Despite weakness in global markets, the Indian stock market ended notably higher on Tuesday, snapping a 3-day losing streak, as investors lapped up stocks, betting on strong economic growth.
Encouraging reports on India's services and manufacturing sector activity in March and an impressive reading on India's business confidence in the last quarter of fiscal 2016-17 helped keep sentiment upbeat.
The BSE benchmark Sensex ended up 212.61 points or 0.72% at 29,788.35, after rising to 29,831.32 intraday. The Nifty50 of the National Stock Exchange, which rose to 9242.70, ended at 9237.00, gaining 55.55 points or 0.61%.
In the forex market, the rupee was trading at 64.47 against the U.S. dollar around late afternoon, up 9 paise from its previous close of 64.56.
Capital goods stocks had another good session. Realty, FMCG and bank stocks were the other prominent gainers. Information technology, consumer durables and telecom sectors fared well. Power, automobile, healthcare and oil stocks turned in a mixed performance. While midcaps were a bit subdued, smallcap stocks had another good session.
ITC gained 3.2%. Power Grid Corporation ended 2.3% up. ICICI Bank, Larsen & Toubro, State Bank of India, Bharti Airtel and Asian Paints gained 1.2% - 2%.
IT major Infosys, which ended sharply lower on Monday, bounced back and gained 1.5% today. The company is scheduled to announce its fourth quarter results on Thursday (April 13). Wipro gained 1.2%, while Tata Consultancy Services ended little changed.
Ambuja Cements gained more than 2%. BPCL, Bank of Baroda, ACC and Eicher Motors gained 1% - 1.7%. Yes Bank, Hindalco, Lupin, HDFC, ONGC, Coal India, Axis Bank and Sun Pharmaceutical Industries also ended on a positive note.
Karnataka Bank rallied sharply after data showed ICICI Bank to have picked up some stake in the bank. Tata Metaliks, Tata Sponge Iron and JM Financial hit new peaks on strong volumes.
Shares of Tata Power and Adani Power tumbled following the apex court setting aside an order of the Appellate Tribunal for Electricity that allowed these companies to charge compensatory tariff from consumers.
The market breadth was strong. Out of 3069 stocks traded on BSE, 1757 stocks advanced. 1144 stocks declined and 168 stocks ended flat.
