Market

Sensex regains 60,000-mark; Nifty nears 18K as financials, metals lead rally

BL Mumbai Bureau Mumbai | Updated on January 05, 2022

IT, pharma remain weak; volatility index moves above 17

Benchmark indices closed higher for the fourth consecutive session on Wednesday amid volatility, led by financials and metals. The market opened on a flat note amid mixed global cues. Investors remained cautious over rising number of Covid-19 cases, fresh curbs across some States. After initial volatility, indices extended gains in second half. IT stocks remained under pressure through the day.

The BSE Sensex closed above the 60,000-mark at 60,223.15, up 367.22 points or 0.61 per cent, for the first time since November 17. It recorded an intraday high of 60,332.72 and a low of 59,661.38. The Nifty 50 closed at 17,925.25, up 120 points or 0.67 per cent.

The market breadth remained positive with 1,830 stocks advancing on the BSE against 1,555 that declined; 96 remained unchanged. Volatility index rose 6.87 per cent to 17.23.

Vinod Nair, Head of Research at Geojit Financial Services, said, “In a highly volatile session, the domestic market witnessed a recovery following a mild dip though global sentiments were not in favour of bulls. Increasing Covid cases leading to stricter restrictions has pressurised market volatility. Banking sector outshone other sectoral indices as a few private lenders reported double-digit growth during the third quarter. IT stocks took a blow as investors awaited onset of quarterly results season. US and Asian markets traded weak ahead of release of US Fed meeting minutes while European indexes held ground.”

Bajaj Finserv, Bajaj Finance, Kotak Bank, JSW Steel and Grasim were top gainers on Nifty 50 and Tech Mahindra, Infosys, HCL Tech, Divi’s Lab and Wipro top losers.

IT, pharma under pressure

On the sectoral front, financials, metals, realty, auto and oil & gas stocks recorded gains while IT, pharma and consumer durables faced pressure.

Nifty IT was down 1.93 per cent. Nifty Pharma and Nifty Healthcare Index closed 0.29 per cent and 0.31 per cent lower, respectively. Nifty Consumer Durables was down 0.20 per cent.

Broader indices faced pressure. Nifty Midcap 50 closed 0.14 per cent higher while Nifty Smallcap 50 was down 0.11 per cent. The S&P BSE Midcap was up 0.36 per cent. The S&P BSE Smallcap was down 0.08 per cent.

Published on January 05, 2022

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