Sensex jumps 150 points in early trade; Nifty tests 15,700
Equity benchmark Sensex jumped over 150 points in early trade on Thursday, tracking gains in index-heavyweights Reliance Industries, Infosys, and HDFC Bank amid a positive trend in global equities. The 30-share BSE index was trading 160.07 points or 0.31% higher at 52,101.71 in initial deals. Similarly, the broader NSE Nifty advanced 58.75 points or 0.38% to 15,694.10.
Here are the gainers and losers
PowerGrid was the top gainer in the Sensex pack, rising around 2%, followed by ITC, Tech Mahindra, IndusInd Bank, NTPC, Sun Pharma, and Dr. Reddy's. On the other hand, Bajaj Auto, Asian Paints, Maruti, and Nestle India were among the laggards.
FIIs offloaded shares worth Rs. 846 crore on Wednesday
In the previous session, Sensex ended 333.93 points or 0.64% lower at 51,941.64, and Nifty slumped 104.75 points or 0.67% to 15,635.35. Foreign institutional investors (FIIs) were net sellers in the capital market as they offloaded shares worth Rs. 846.37 crore on Wednesday, as per provisional exchange data. Binod Modi Head-Strategy at Reliance Securities said, "Domestic equities look to be good as of now."
Drop in COVID-19 cases has improved prospects of economic recovery
Modi added, "Previous session's selling pressure was due to profit booking ahead of crucial US CPI data and European Central Bank (ECB) policy meeting outcome." "While the sharp drop in daily caseload and phased withdrawal of COVID-19 curbs have significantly improved prospects of economic recovery, government's decision to increase MSPs for several Kharif crops is a sensible move to enhance rural income," he noted.
Brent crude was trading at $71.70 per barrel on Wednesday
Bourses in Shanghai, Hong Kong, Seoul, and Tokyo were trading on a positive note in mid-session deals. US equities finished lower as profit-booking ahead of crucial May inflation data. International oil benchmark Brent crude was trading 0.72% lower at $71.70 per barrel.