INSUBCONTINENT EXCLUSIVE:
NEW DELHI: A new RBI boss and an optimistic assessment of BJP's 2019 reelection bid gave enough firepower to the bulls as equity benchmarks
made a spectacular comeback on Wednesday.
CLSA in a note said Prime Minister Narendra Modi is still a favourite to win the 2019 general
The possibility of trade tension between the US and China easing was cheered globally as well as back home too
Trump had said that talks are on with Beijing by phone and he would not raise tariffs on Chinese imports until he is sure about a
deal.
Aggressive short covering in stock specific futures was accompanied by a long build-up in indices, according to analysts.
The BSE
Sensex shot up 629 points, or 1.79 per cent, to 35,779 while the NSE Nifty added 188 points, or 1.79 per cent, at 10,737.60.
BSE
advance-decline ratio stood at 3:1, meaning a rise in every three stocks was followed by a fall in one.
All Sensex scrips closed in the
green, with Hero MotoCorp, up 7.01 per cent, emerging as leader
Bhari Airtel (up 6.69 per cent), YES Bank (5.30 per cent), Adani Ports (4.90 per cent), Tata Steel (3.75 per cent) and Bajaj Auto (3.70 per
cent) were other notable gainers.
On the 50-share index, however, five stocks settled lower, with Dr Reddy's Labs as the worst performer
Shares of DRL had plunged over 5 per cent after a US appeals court barred the drugmaker from launching a copycat version of its rival
Indivior's opioid treatment Suboxone Film
The scrip closed at 4.38 per cent down on the NSE
Realty, metals and auto stocks put up a stellar show in today's session
Nifty Realty rallied 4.36 per cent with Nifty Auto (up 3.61 per cent) and Nifty Metals (up 2.58 per cent) playing catch-up.
Banking, finance
and FMCG stocks too performed well and gained nearly 2 per cent each
All sectors ended higher, with Nifty Pharma logging the weakest gains at 0.67 per cent.
Viral Berawala, CIO, Essel Mutual Fund said,
"Following the reversals for the incumbents in the state elections, markets are expecting rural-focused policies over the next few months
Also, the base metal prices went up accompanied by a strengthening currency helping metal stocks to do well
In terms of FO, aggressive short covering in stock specific futures was accompanied by long build-up in indices."
Globally, Japan's Nikkei
led the way in Asia with a jump of 2 per cent, while Shanghai blue chips trailed with just 0.2 per cent
London, Frankfurt and Paris then gained 0.4-0.8 per cent to push Europe higher and E-Mini futures for the SP 500 added 0.5 per cent, Reuters
