Mkts Stage Broad-Based Rebound As US Hints Possible Relief On Tariffs

Mumbai: Benchmark BSE Sensex surged by 740 points while Nifty snapped its 10-day losing streak on Wednesday following value buying in utilities and power shares and a strong trend in global markets.

The 30-share BSE Sensex surged by 740.30 points or 1.01 per cent to close at 73,730.23. The index jumped 943.87 points or 1.29 per cent to hit an intra-day high of 73,933.80. Cutting short its record 10-day falling streak, the broader Nifty of NSE rebounded by 254.65 points or 1.15 per cent to settle at 22,337.30. During the day, it appreciated by 312.25 points or 1.41 per cent to a high of 22,394.90. The market capitalisation (mcap) of BSE-listed firms appreciated by Rs7,97,247.7 crore to Rs3,93,04,041.75 crore ($4.51 trillion).

Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said: “Strong global market cues led the recovery in domestic indices as talks that the Trump administration could reverse some tariffs amidst the ongoing global trade tensions buoyed sentiment. Also, local factors such as an increase in the February PMI index also boosted the sentiment in the markets.”

Broader markets also closed higher with the BSE smallcap gauge climbing 2.80 per cent and midcap index advancing 2.66 per cent.

Pranjul Bhandari, Chief India Economist at HSBC, said:”India’s services business activity index rose to 59.0 in February 2025, up considerably from January’s 26-month low of 56.5. Global demand, which grew at its fastest pace in six months according to the new export business index, played a major role in driving output growth for India’s services sector.”

All the sectoral BSE indices ended higher, with Utilities surging 4.40 per cent, Power by 3.67 per cent, Services by 3.64 per cent, metal by 3.52 per cent, Telecommunication by 3.36 per cent, Commodities by 2.88 per cent and Oil & Gas by 2.46 per cent.

Vinod Nair, head (research), Geojit Financial Services, said: “Emerging markets, including India, witnessed a relief rally, supported by a weakening US dollar. This upward momentum occurred despite the imposition of US tariffs on Mexico, Canada, and China, as well as the looming threat of retaliatory measures.