Mumbai: Stock markets rose for the second consecutive day on Thursday as political concerns eased and the benchmark Sensex jumped nearly 693 points as the ruling NDA started efforts to form the government.
Recapturing the 75,000 level, the 30-share BSE Sensex jumped 692.27 points or 0.93 per cent to close at the week's high of 75,074.51. During the day, the barometer rose 915.49 points or 1.23 percent to 75,297.73.
NSE Nifty rose 201.05 points or 0.89 per cent to 22,821.40 and 38 of its components ended with gains. Intra-day it rose 289.8 points or 1.28 percent to 22,910.15.Due to lower than expected results of Lok Sabha elections, major indices Sensex and Nifty had fallen by about 6 percent on Tuesday. Due to the recession in the market, investors suffered a record loss of Rs 31 lakh crore in a single day.
The indices rose more than 3 per cent on Wednesday as NDA allies confirmed their support to the BJP to form the new government. In the two days of rise, the wealth of investors has increased by about Rs 21 lakh crore.
Vinod Nair, head of research at Geojit Financial Services, said, “Benchmark indices have maintained their positive momentum as the new coalition is about to be sworn in, which is expected to form a stable government.,
However, concerns remain over the formation of the new Cabinet and policy measures expected to be announced in the upcoming Budget, Nair said, adding that "the market is awaiting fresh signals from RBI's comments on liquidity".
Realty, IT and oil & gas stocks led the recovery while FMCG and healthcare saw profit-booking.
Among the 30 Sensex companies, Tech Mahindra, HCL Technologies, State Bank of India, NTPC, Infosys, Larsen & Toubro, Tata Consultancy Services and Wipro were the biggest gainers.
Hindustan Unilever, Asian Paints, Mahindra & Mahindra, Nestle, IndusInd Bank and Sun Pharma were among the laggards.
Ajit Mishra, SVP, Research, Religare Broking Ltd. said, “The market appears to have adjusted to the recent election results, and stability on the global front is further boosting the positivity.,
In the broader market, the BSE smallcap gauge jumped 3.06 per cent, while the midcap index climbed 2.28 per cent.
All indices ended with gains, with Realty rising 4.85 per cent, Industrials rising 3.69 per cent, Power rising 2.87 per cent, IT rising 2.86 per cent, Utilities rising 2.52 per cent and Energy rising 2.34 per cent.
On the BSE, 3,009 shares advanced, while 834 declined and 102 shares remained unchanged.
Prime Minister Narendra Modi is set to form the government at the Center for the third consecutive time after the BJP-led National Democratic Alliance (NDA) secured majority in the recently concluded parliamentary elections.
In Asian markets, Tokyo and Hong Kong closed with gains while Shanghai closed lower.European markets were trading with gains. US markets closed in positive territory on Wednesday.
Global oil benchmark Brent crude rose 0.09 percent to US$78.43 per barrel.
According to exchange data, foreign institutional investors (FIIs) sold equities worth Rs 5,656.26 crore on Wednesday.
Recapturing the 75,000 level, the 30-share BSE Sensex jumped 692.27 points or 0.93 per cent to close at the week's high of 75,074.51. During the day, the barometer rose 915.49 points or 1.23 percent to 75,297.73.
NSE Nifty rose 201.05 points or 0.89 per cent to 22,821.40 and 38 of its components ended with gains. Intra-day it rose 289.8 points or 1.28 percent to 22,910.15.Due to lower than expected results of Lok Sabha elections, major indices Sensex and Nifty had fallen by about 6 percent on Tuesday. Due to the recession in the market, investors suffered a record loss of Rs 31 lakh crore in a single day.
The indices rose more than 3 per cent on Wednesday as NDA allies confirmed their support to the BJP to form the new government. In the two days of rise, the wealth of investors has increased by about Rs 21 lakh crore.
Vinod Nair, head of research at Geojit Financial Services, said, “Benchmark indices have maintained their positive momentum as the new coalition is about to be sworn in, which is expected to form a stable government.,
However, concerns remain over the formation of the new Cabinet and policy measures expected to be announced in the upcoming Budget, Nair said, adding that "the market is awaiting fresh signals from RBI's comments on liquidity".
Realty, IT and oil & gas stocks led the recovery while FMCG and healthcare saw profit-booking.
Among the 30 Sensex companies, Tech Mahindra, HCL Technologies, State Bank of India, NTPC, Infosys, Larsen & Toubro, Tata Consultancy Services and Wipro were the biggest gainers.
Hindustan Unilever, Asian Paints, Mahindra & Mahindra, Nestle, IndusInd Bank and Sun Pharma were among the laggards.
Ajit Mishra, SVP, Research, Religare Broking Ltd. said, “The market appears to have adjusted to the recent election results, and stability on the global front is further boosting the positivity.,
In the broader market, the BSE smallcap gauge jumped 3.06 per cent, while the midcap index climbed 2.28 per cent.
All indices ended with gains, with Realty rising 4.85 per cent, Industrials rising 3.69 per cent, Power rising 2.87 per cent, IT rising 2.86 per cent, Utilities rising 2.52 per cent and Energy rising 2.34 per cent.
On the BSE, 3,009 shares advanced, while 834 declined and 102 shares remained unchanged.
Prime Minister Narendra Modi is set to form the government at the Center for the third consecutive time after the BJP-led National Democratic Alliance (NDA) secured majority in the recently concluded parliamentary elections.
In Asian markets, Tokyo and Hong Kong closed with gains while Shanghai closed lower.European markets were trading with gains. US markets closed in positive territory on Wednesday.
Global oil benchmark Brent crude rose 0.09 percent to US$78.43 per barrel.
According to exchange data, foreign institutional investors (FIIs) sold equities worth Rs 5,656.26 crore on Wednesday.
