Indian markets soon turned positive in the afternoon session, driven by well-received earnings reports from some blue-chip firms.
Benchmark equity market indices Sensex and Nifty ended higher on Thursday after regaining momentum in the afternoon session led by gains select heavyweights Infosys, Larsen & Toubro, ICICI Bank, State Bank of India (SBI) and Kotak Mahindra Bank. “Indian markets started off on a cautious note with marginal gains as major Asian peers were trading in red following anxiety over latest coronavirus scare which infected hundreds in China leading to major healthcare risks across the world just as millions prepared to travel for the Lunar New Year. However, Indian markets soon turned positive in the afternoon session, driven by well-received earnings reports from some blue-chip firms,” Narendra Solanki, Head of Fundamental Research- Investment Services, Anand Rathi Shares and Stock Brokers said. S&P BSE Sensex ended 271 points, 0.66 per cent higher at 41,386.40, while the broader Nifty 50 index gained 73 points or 0.60 per cent at 12,180.
“The market is marginally up today due to bounce back by banks, auto, and mid & small caps after a mild consolidation during the week. We feel that a cautious trend will be maintained in the near-term since a lot has been factored in the market about budget wish list and revival in earnings growth, while the start of Q3 result is below par,” Vinod Nair, Head of Research, Geojit Financial Services said.
L&T, Titan, Mahindra and Mahindra, State Bank of India, Infosys, Bharti Airtel gained the most on the index. While Tech Mahindra, TCS, Bajaj Auto, Reliance, Asian Paints were among the top laggards. The shares of Larsen and Toubro gained 2.84 per cent to end at Rs 1331 on BSE as the company reported a spike of 15.21 per cent in net profit to Rs 2352.12 crore in the quarter ended December 2019 as against Rs 2041.62 crore during the previous quarter ended December 2018.
Except for Nifty Media, all the sectoral indices traded in green. The Nifty Bank jumped 313 points to settle at 31,014, driven by gains in Yes Bank, State Bank of India, Axis Bank, Kotak Mahindra Bank and Punjab National Bank. The broader market indices outperformed the equity benchmarks. S&P BSE MidCap index ended 160 points or 1.03 per cent higher at 15,696, while S&P BSE SmallCap index gained 140 points or 0.96 per cent to settle at 14,773.