MUMBAI: Indian benchmark equity indices Sensex and Nifty snapped their three-day losing streak and closed in positive territory on Wednesday, buoyed by a rally in global markets and strong buying in blue-chips such as Reliance Industries and HDFC Bank.
Market participants attributed the gains to better-than-expected US job market data and optimism surrounding the anticipated trade talks between the US and Chinese Presidents later this week.
The 30-share BSE Sensex rose 260.74 points, or 0.32 per cent, to settle at 80,998.25. In intraday trade, it surged 349.78 points, or 0.43 per cent, to touch 81,087.29. The NSE Nifty advanced 77.70 points, or 0.32 per cent, to end at 24,620.20.
Among the Sensex constituents, Eternal gained 3.32 per cent. Bharti Airtel, IndusInd Bank, Tech Mahindra, Reliance Industries, Tata Motors, HDFC Bank, Tata Steel, and Hindustan Unilever also ended with notable gains. On the other hand, Bajaj Finserv, Axis Bank, Tata Consultancy Services, Titan, and Larsen & Toubro were among the laggards.
“Indian equities closed with gains following positive global cues with Nifty-50 up 0.32 per cent at 24,620. US markets ended higher on Tuesday after better-than-expected April job openings data, indicating resilience in the US labour market despite concerns over tariff policies. Further, Asian indices ended in the positive on optimism over trade talks between the US and Chinese President this week,” said Siddhartha Khemka, head of research, wealth management, Motilal Oswal Financial Services.
The BSE midcap index climbed 0.76 per cent, while the smallcap index rose 0.58 per cent.
Among sectoral indices, telecommunication rose 1.35 per cent, followed by utilities (0.99 per cent), teck (0.75 per cent), energy (0.69 per cent), commodities (0.56 per cent), oil and gas (0.53 per cent), and metal (0.51 per cent). However, Bankex and realty ended in the red.
On the BSE, 2,071 stocks advanced, 1,933 declined, and 151 remained unchanged.
Markets in consolidation mode
“We expect the market to remain in consolidation mode, tracking global markets and macroeconomic cues, while stock-specific action would continue on the back of sectoral developments,” Khemka added.
Global oil benchmark Brent crude rose 0.14 per cent to $65.72 a barrel.
Foreign institutional investors (FIIs) offloaded equities worth Rs2,853.83 crore on Tuesday, according to exchange data.
On Tuesday, the Sensex had dropped 636.24 points, or 0.78 per cent, to close at 80,737.51. The Nifty fell 174.10 points, or 0.70 per cent, to end at 24,542.50.
On the domestic macroeconomic front, services sector growth in India broadly held steady in May, supported by strong demand, new client wins, and improved staffing.
The seasonally adjusted HSBC India Services PMI Business Activity Index stood at 58.8 in May, slightly up from April’s 58.7, indicating another sharp expansion.
