Stock market bounces back; banks, metals shine
Sensex was up 599.34 points, or 0.83 per cent at 73,088.33, while the Nifty was up 151.20 points or 0.69 per cent at 22,147.
Indian stock market continued its winning streak on the fourth day with Sensex ending over 1 per cent higher on Monday, driven by gains in index-heavyweights Reliance Industries (RIL) and HDFC Bank amid easing India-China border tension and bullish trend in global markets.
After touching a high of 36,661.66 during the day, the S&P BSE Sensex settled 465.86 points, or 1.29 per cent, higher at 36,487.28.
Similarly, NSE Nifty soared 156.30 points, or 1.47 per cent, to 10,763.65.
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Manjot contributors on the BSE included, Mahindra and Mahindra (advanced over 7 per cent), followed by Bajaj Finance, Reliance Industries, Maruti, TCS, HDFC Bank and Tata Steel.
On the other hand, Bajaj Auto, HDFC, Bharti Airtel and HUL were among the laggards.
RIL hit a record high of Rs 1,858 during the day before ending at Rs 1,851.40 up by 3.57 per cent on the BSE.
According to traders, besides stock-specific action, domestic indices rallied on positive sentiment led by signs of easing border tension between India and China.
The Ministry of External Affairs said, in telephonic talks, National Security Advisor Ajit Doval and Chinese Foreign Minister Wang Yi agreed that maintenance of peace and tranquillity was essential for development of bilateral ties.
Doval and Wang also agreed that it was necessary to ensure complete disengagement of troops along the line of actual control for restoration of peace and tranquillity, the ministry said.
Further, massive buying momentum in global equities on hopes of a COVID-19 vaccine and improving global macroeconomic conditions too boosted investor sentiment, traders said.
Bourses in Shanghai rallied around 6 per cent, Hong Kong 4 per cent, Tokyo and Seoul up to 2 per cent on hopes of more government stimulus to support economic recovery.
Stock exchanges in Europe too jumped up to 2 per cent in early deals.
Meanwhile, international oil benchmark Brent crude futures rose 1.43 per cent to USD 43.42 per barrel.
On the currency front, the rupee pared initial gains and settled 2 paise down at 74.68 against the US dollar.
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