Good news is coming from market thick and fast. The BSE Sensex staged a smart recovery by about 217 points to top the 29,000-mark in early trade today as fresh buying by investors led to widespread gains amid a mixed trend in other Asian markets.
The broader NSE Nifty too followed suit, going past the 8,900-mark. The 30-share index, which had lost 152.04 points in the previous two sessions, recovered sharply by 216.60 points, or 0.75 per cent, to trade at 29,049.05.
Brokers said that besides buying by retail investors, pumping of funds into the market by domestic institutional investors too contributed to the recovery. Stocks of auto, banking, PSU, oil & gas, power, capital goods, FMCG, healthcare, realty and metal led the gains.
RIL shares climbed 2.90 per cent to Rs 1,295 on sustained buying after the company announced that 15 promoter groups will transfer 118.99 crore shares to eight other promoter group entities at Rs 1,100.78 per share. The NSE Nifty was trading higher by 37.95 points, or 0.42 per cent, at 8,935.50.
Meanwhile, The rupee strengthened by 7 paise to 66.74 against the dollar in opening trade today at the forex market on fresh selling of the US currency by exporters and banks amidst higher opening in the domestic equity market.
Forex dealers said that besides selling of the American currency by exporters and banks, weakness in the dollar against other currencies overseas propped the rupee. Further, a higher opening in the domestic equity market influenced the rupee uptrend, they added.
On Friday, the rupee had lost 11 paise to 66.81 against the US dollar on fresh demand for the American greenback from banks and importers. Bucking the trend, shares of IT and technology companies were trading lower on sustained selling.
Asian cues were weak with Shanghai Composite Index rising 0.38 per cent, while Hong Kong’s Hang Seng advanced 0.19 per cent in early trade. However, Japan’s Nikkei fell 0.51 per cent as the yen jumped in response to North Korea firing four ballistic missiles, three of which landed in Japanese waters. The US Dow Jones Industrial Average ended 0.01 per cent higher in Friday’s trade.