Indian stock markets strengthened further on Thursday after yesterday’s breather with Sensex jumping 482 points and Nifty flirting the 10,600-level as a rally in shares of HDFC twins, Infosys, RIL and TCS uplifted the benchmark indices. The S&P BSE Sensex zoomed as much as 482.32 to hit the day’s high of 34,565.03 while Nifty advanced 137.6 points to mark the day’s high of 10,614.3 in the late morning trades. Earlier yesterday, the Monetary Policy Committee chaired by RBI Governor Urijit Patel concluded its two-day bi-monthly policy meeting by keeping the key policy rates unchanged. A value-buying was seen in the Indian equities after the massive wipeout in the three-day tenure from 2 February to 6 February 2018 led by the global sell-off in equities across world markets.
The stock of Cipla was the top gainer on Thursday among the Nifty components. Cipla shares rose as much as 8.41% to hit the day’s high of Rs 617.15 after posting decent third-quarter results. Other major gainers were Indiabulls Housing Finance, Sun Pharma, Dr Reddy’s, BPCL, Infosys, Tech Mahindra, HCL Tech, HDFC, Axis Bank, TCS, Bharti Infratel, Bosch, HPCL, UPL, Kotak Mahindra Bank, Yes Bank, HUL, Zee Entertainment Enterprises, L&T, Bajaj Finance, Maruti Suzuki, Bajaj Auto, Wipro, GAIL, Indigo, BHEL, Motherson Sumi Systems, Sun TV, Avenue Supermarts, Idea Cellular, SAIL, LIC Housing Finance, Havells, and DLF rose 1-6% while Vedanta, NTPC, Hindustan Zinc and Tata Steel lost up to 2%.
Market at glance
All the sectoral and broader indices were trading in green following a market-wide upsurge in Indian equities. Among the broader market indices of NSE, other than Nifty 50, Nifty Next 50, Nifty 100, Nifty 200, Nifty 500, Nifty Mid100 Free Nifty, Midcap 50 and Nifty Sml100 advanced 1-2.5%. On the other hand, all of the 11 sectoral indices of NSE posted decent upside up until 12:00 pm with Nifty Realty, Nifty Pharma, Nifty IT, Nifty Bank, Nifty Auto, Nifty Media, Nifty PSU Bank and Nifty Pvt Bank leading the charge rising 1-3% while Nifty FMCG and Nifty Metal rise minimally. BSE Sensex gained 125.4 points to start the day at 34,208.11 whereas NSE Nifty added 41.8 points to begin at 10,518.5 on Thursday.
RBI’s 6th Monetary Policy Committee meeting outcome
The Reserve Bank of India in its sixth and last bi-monthly policy of the financial year 2017-2018 kept the repo rate unchanged at 6% under the liquidity adjustment facility (LAF) and the reverse repo rate also remained at 5.75%, and the marginal standing facility (MSF) rate and the Bank Rate at 6.25%.
US stock markets on Wednesday
U.S. stocks closed lower in an up-and-down session on Wednesday, dragged down by tech and energy shares, as investors adjusted to a more volatile market following wild swings of the past few sessions, Reuters said in a report. The Dow Jones Industrial Average fell 19.7 points or 0.08% to 24,893.07, the S&P 500 lost 13.51 points or 0.5% to 2,681.63 and the Nasdaq Composite dropped 63.90 points or 0.9% to 7,051.98.
Indian equities on Wednesday
Indian stock markets took a rest from the three-day long sell-off and ended lower on Wednesday with the S&P BSE Sensex losing 113 points to settle at 34,082.71 after the Reserve Bank of India kept the repo rates unchanged at 6%. Shares of OMCs (oil marketing companies) such as HPCL, BPCL and IOC rallied while the stock of India’s largest private sector bank HDFC Bank bled. The benchmark Sensex lost 113.23 points or 0.33% to finish at 34,082.71 and the broader Nifty shed 21.55 points or 0.21% to conclude at 10,476.7. Domestic markets saw a steep rise in the early morning trades but kept on declining after jumping in the early session. During the day, BSE Sensex jumped as much as 470.39 points to hit the day’s high of 34,666.33 and made a low of 34,008.42 while NSE Nifty added 115.75 points to mark the day’s high at 10,614.