Mumbai 30 August : Benchmark indices ended with a sharp increase on Tuesday, after dropping sharply on Monday due to delivery-based purchases by the FIIs as well as short covering in the F&O market dealers said.At the close, Sensex ended 1,564.45 points or 2.70 percent, up at 59,537.07 and Nifty closed at 445.40 points, or 2.58 percent higher at 17,759.30.The Nifty bank was up a lot at 3.29 per cent.
The 30 stocks listed that traded on the Sensex ended in green.
BSE LargeCap was up 2.59 percent, BSE MidCap, and BSE SmallCap up 1.97 per cent and 1.40 percent and 1.40 per cent, respectively.Bajaj Finserv, Bajaj Finance, IndusInd Bank, Tech Mahindra as well as ICICI Bank were major gainers on the BSE.
“Today’s recovery is a sign of the resilience of the economy in the United States in contrast to its global counterparts.While the markets are at a premium, constant assistance from foreign investors has helped domestic stocks to climb.Sectors in movement with the growth of the economy in the country will do better than the rest,” said Vinod Nair who is the Head of Research at Geojit Financial Services.
The volume at the NSE were the largest in more than one week.In terms of sectors, realty, banks, power oil and gas and auto indices climbed the most.Broader markets underperformed, however the ratio of advance decline was a sharply positive 2.96:1.
Global stocks increased on Tuesday, as investors looked for bargains after two days of declines , as Chinese authorities pledged to boost the world’s second largest economy.China will intensify efforts to boost demand and stabilize prices and employment in the second quarter of the year in order to improve economic performance, the country’s Finance Ministry said on Tuesday as policymakers attempt to boost growth that is slowing.
“Nifty has canceled the bearish signals of the downgap that was created earlier in the day, and is now filling the gap.It has closed at its most high level ever recorded on the monthly chart.It is now expected to encounter resistance in the 17965-17992 band, while 17522-17623 could provide support,” said Deepak Jasani Head of Retail Research, HDFC Securities.
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