Home Business Sensex marks first gain of 176 points in 2018

Sensex marks first gain of 176 points in 2018


(G.N.S) Dt. 04
Benchmark Sensex reversed a three- session slide to end at 33,970 after the government moved forward on its bank recapitalisation programme.
Investors also took heart from upbeat macro indicators and firm global cues, brokers said.
The finance ministry today sought Parliament’s nod for extra expenditure of Rs 80,000 crore towards recapitalisation of bad loans-saddled public sector banks through bonds.
State-run lenders made handsome gains in today’s session.
Index heavyweight SBI rose 1.72 per cent, while UCO Bank, IDBI, Punjab National Bank, Bank of India, Bank of Baroda and Oriental Bank of Commerce, among others, rallied by up to 8.50 per cent.
Market sentiment was bolstered after a monthly survey showed the Indian services sector returned to marginal growth in December as new orders broadly stabilised.
The BSE benchmark Sensex opened higher at 33,912.49 and hovered in a range of 33,995.40 to 33,802.13 before finishing at 33,969.64, showing a gain of 176.26 points or 0.52 per cent.
The gauge had lost 263.45 points in the previous three sessions.
The NSE 50-share Nifty also closed higher by 61.60 points, or 0.59 per cent, at 10,504.80 after shuttling between 10,513 and 10,441.45.
“Positive global cues and improvement in services PMI data for December helped the market move out of the subdued phase of trading.
“Global growth expectation and continued buying in metal stocks raised the market sentiment, while PSU banks outperformed on account of finalisation of recapitalisation,” said Vinod Nair, Head of Research, Geojit Financial Services.
Meanwhile, foreign portfolio investors (FPIs) bought shares worth Rs 96.31 crore, while domestic institutional investors (DIIs) were net sellers to the tune of Rs 269.20 crore yesterday, provisional data showed.
Asian bourses displayed a firm trend, led by Japan which began the first trading of 2018 on a strong footing. European markets opened higher.
Back home, Tata Steel was the biggest gainer in the Sensex kitty, rising 3.74 per cent, followed by Dr Reddy’s, which advanced 3.14 per cent.
Other gainers were L&T, ONGC, Asian Paints, Sun Pharma, Coal India, SBI, IndusInd Bank, Bharti Airtel, TCS, Bajaj Auto, Reliance Industries, Yes Bank, Adani Ports, HDFC Ltd and HDFC Bank, rising by up to 3.08 per cent.
Among the sectoral indices, metal climbed 2.77 per cent, consumer durables 2.53 per cent, capital goods 2.11 per cent, PSU 1.55 per cent, infrastructure 1.03 per cent, healthcare 0.99 per cent, oil and gas 0.80 per cent, bankex 0.51 per cent and power 0.33 per cent.
The broader markets continued to outperform the benchmark. The BSE small-cap and mid-cap indices rose by 0.88 per cent and 0.71 per cent, respectively.
Globally, Asian stocks ended higher as soaring oil prices helped energy firms post bumper gains, following more records on Wall Street.
Japan’s Nikkei rose 3.26 per cent, Hong Kong’s Hang Seng gained 0.57 per cent and Shanghai Composite Index was up 0.49 per cent. In Europe, Frankfurt’s DAX rose 0.94 per cent, while Paris gained 0.85 per cent. London FTSE was up 0.15 per cent.

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