Mumbai: Equity benchmark Sensex rose more than 400 points in early trading on Thursday, led by gains in ICICI Bank, HDFC Bank and Reliance Industries amid positive indications of world markets and foreign fund inflows.
The BSE index of 30 stocks traded 436.79 points or 0.88 percent higher at 50,238.41, and the broader NSE Nifty rose 131.55 points or 0.89 percent at 14,852.85.
Bajaj Finance was the best profit in the Sensex package and rose by about 3 percent, followed by ONGC, M&M, Maruti, ICICI Bank, SBI, HFC Twins and Reliance Industries.
On the other hand, Infosys and Dr Reddy’s were left behind.
In the previous session, Sensex finished 562.34 points or 1.12 percent lower at 49,801.62, while Nifty fell 189.15 points or 1.27 percent to finish at 14,721.30.
Foreign institutional investors (FIIs) were net buyers in the capital market on Wednesday because they bought shares worth 2,625.82 million.
According to UK Vijayakumar, chief investment officer of Geojit Financial Services, the outcome of the US Federal Reserve’s policy meeting is very positive for stock markets.
“The Fed’s accommodative monetary stance is appropriate and will continue until 2023, which means that the adequate liquidity situation and low interest rate will last for a long time.”
“The better than expected news is that the Fed is raising US GDP growth to 6.5 percent, and that the signal that inflation is above 2 percent will be tolerated for some time. Very good news for the bulls, he remarked.
After its two-day policy meeting, the US Fed reassured investors that it expects to keep its core interest rate close to zero until 2023.
Stocks on Wall Street ended with a rise in the overnight session.
However, a concern in India is the second wave of COVID-19 attack in parts of the country, especially in Maharashtra. But if he experiences the experience, it is unlikely to affect the market much, he said, adding that the second wave in the US and Europe (much less in intensity) did not affect the market.
Elsewhere in Asia, the stock market in Shanghai, Hong Kong, Tokyo and Seoul traded on a positive note in the middle of the sessions.
Meanwhile, Brent crude’s global oil benchmark traded 0.76 percent lower at $ 67.48 a barrel.
Source: Telangana Today