On the first trading day of the week i.e. Monday, the Indian market closed with gains. There was optimism regarding the India-US trade agreement. Benchmark equity indices Sensex and Nifty continued their gains for the second consecutive session on Monday, led by strong buying in public sector banks, consumer durables and real estate stocks. Rupee fell 9 paise to close at 90.74 (provisional) against the US dollar.
The 30-share BSE Sensex closed 485.35 points or 0.58 per cent higher at 84,065.75. During the day, the benchmark rose 734.28 points or 0.87 per cent to hit an intraday high of 84,314.68.
The 50-share NSE Nifty closed at 25,867.30, up 173.60 points or 0.68 per cent. During the session, the index climbed 228.55 points or 0.88 per cent to an all-time high of 25,922.25.
Condition of Sensex companies
Among the 30 stocks, State Bank of India, Titan, UltraTech Cement, Tata Steel, Eternal, Bharat Electronics Ltd, Kotak Mahindra Bank, Indigo, Trent, Mahindra & Mahindra, Larsen & Toubro, Sun Pharmaceuticals and Asian Paints were the gainers. On the other hand, PowerGrid, NTPC, ITC, ICICI Bank, Infosys, HDFC Bank, Tech Mahindra, Maruti Suzuki India and Axis Bank were among the laggards.
These factors boosted risk appetite in the market
Vinod Nair, Head of Research, Geojit Investments Limited, said that positive signals from the trade agreement and withdrawal of foreign investment sources (FIIs) have boosted risk appetite in the market. Investors are keeping a close eye on the upcoming results, as better-than-expected performance by PSU banks has helped the PSU Bank index outperform. He further said accumulation strategy was seen in consumer durables and real estate stocks after the recent decline, driven by expectations of revival in demand.
Nair said the economic recovery was broad based, with sectors such as cement, capital goods, textiles and consumer discretionary goods attracting investor interest, supported by the Union Budget proposals and favorable trade deals.
There was a rise in European markets
In Asian markets, Japan’s Nikkei 225 index, South Korea’s Kospi, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng index closed higher. European markets witnessed a rise. American markets closed sharply on Friday.
The price of Brent crude fell to US $ 67.52 per barrel.
Global oil benchmark Brent crude fell 0.81 percent to US $ 67.52 per barrel. According to exchange data, foreign institutional investors (FIIs) bought shares worth Rs 1,950.77 crore on Friday. On Friday, the 30-share BSE Sensex closed 266.47 points higher at 83,580.40, while the NSE Nifty ended 50.90 points higher at 25,693.70.
