Markets rallied in the opening trade on Friday with the BSE benchmark Sensex shooting up 500 points tracking gains in index majors HDFC twins, ICICI Bank and L&T amid a positive trend in global markets.
The 30-share BSE index traded 500.92 points or 1.03 per cent higher at 48,941.04, and the broader NSE Nifty surged 156.30 points or 1.09 per cent to 14,481.20 in the early hours.
L&T was the top gainer in the Sensex pack, rising over 2 per cent, followed by Bajaj Finserve, M&M, Tech Mahindra, NTPC, Asian Paints, ICICI Bank and HDFC duo. On the other hand, PowerGrid, TCS, Dr Reddy’s and Sun Pharma were among the laggards.
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The Sensex ended 740.19 points or 1.51 per cent lower at 48,440.12, and the NSE Nifty declined 224.50 points or 1.54 per cent to 14,324.90 at the close on Thursday. Foreign institutional investors (FIIs) were net sellers in the capital market, offloading shares worth Rs 3,383.60 crore.
“Domestic equities look good at the moment. A sharp rise in Covid-19 cases in the country has clearly made investors risk averse in the domestic market. However, receding bond yields and oil prices this week have offered some comfort,” says Reliance Securities strategy head Binod Modi.
The deepening concern over the new wave of coronavirus in the country may keep markets volatile in the near term. India recorded 59,118 new Covid-19 cases in the last 24 hours, while 257 fatalities have pushed death toll to 1,60,949 out of a total number of infections of 1,18,46,652.
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In the international markets, US equities recovered from the day’s low and finished with modest gains mainly supported by improved job data and revised GDP figures for the December quarter. Bourses in Shanghai, Hong Kong, Tokyo and Seoul were also trading on a positive note in mid-session deals.
The global oil benchmark Brent crude was trading 0.86 per cent higher at $62.48 per barrel.
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