Business

Stock Market Update: Sensex Closes Over 200 Points Up, Nifty at 16,496; IT stocks gain

Amid the volatile session, the Indian markets on Monday ended in positive territory. The 30-pack Sensex ended up at 55,555.79, up 226.47 points or 0.41 per cent and the broad market Nifty50 ended at 16,496.50, up 46 points or 0.28 per cent. During the entire session, it touched a high of 55,781.17 and a low of 55,240.29 to finally settle at 55,555.79. However, 15 of 30 Sensex stocks end the day in the red. On the BSE, HCL Technologies, Nestle, TCS, Bajaj Finserv and Bharti Airtel were the top Nifty gainers. Grasim Industries, Adani Ports, M&M, Eicher Motors and Bajaj Auto were among the top losers.

Among all sectoral indices, the Nifty IT index gained 1.7 percent each, while metal, auto and PSU bank indices lost 0.5-1.5 percent. BSE midcap index fell 0.90 percent and small cap shed 1.5 percent.

“Indian markets started on a positive note following positive Asian markets cues after as Hong Kong’s Hang Seng edges out of bear territory seen in last week. During the afternoon session markets recovered from lows seen post opening session led by buying in TECK, IT and Energy stocks. Gains in frontline blue chip stocks such as HCL Tech and TCS also helped lift the markets. Sentiments were upbeat as Crisil Ratings revised the credit quality outlook of India Inc for fiscal 2022 to positive from cautiously optimistic earlier,” Narendra Solanki, head- Equity Research (Fundamental), Anand Rathi Shares & Stock Brokers said.

On Monday, in early trade, the Indian equity Benchmark Sensex and Nifty 50 opened in positive territory driven by global market gains. The 30-share BSE opened at 55,758.84, up 400 points, while the Nifty50 index was up 141.75, or 0.86% at 16592.25.

At 10.57 am, both the Sensex and the Nifty entered the red zone, however, both benchmark indices recovered and entered the green zone.

“Despite the narrative on earnings being positive, the broader markets witnessed profit booking today and many HNI’s looking for listing gains have been caught on the wrong foot in the recent Primary Market offerings. As Indices ruled firm on the back of IT stocks, several Midcap names across sectors were seen wilting under selling pressure in late afternoon trade with the QSR basket too meeting with profit booking,” S Ranganathan, Head of Research at LKP securities said.

In early trade, all the sectoral indices opened in green with Nifty Metal, Nifty Realty, Nifty Media and Nifty PSU Bank gaining the most. Hindustan Unilever and Power grid, Tata Consumer Products, Power Grid, Britannia, HUL and Adani Ports were among top losers in the early trade today.

“Domestic equities remained volatile despite witnessing brisk opening today. Strong cues from global equites aided benchmark indices to witnessed modest recovery, which was also supported by sustained rebound in IT stocks. Nifty IT gained over 1.8% today followed by Financials recording modest gain. An improved visibility of sustained earnings growth with least volatility compared to other industries attracted towards IT stocks. Midcap and small cap stocks remained under pressure, while volatility index contracted ~2%,” Binod Modi, Head Strategy at Reliance Securities.