Stocks bounce back on bargain hunting
Gap-up opening on positive global cues; Optimistic exports outlook, Re recovery improved mkt sentiment further; However, mkts pared some gains at fag-end as investors still chary of Omicron scare and continuous FII selling
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Value Buying
- BSE Sensex jumped 497 pts higher to 56,319.01
- NSE Nifty advanced 156.65 pts to 16,770.85
- HCL Tech the top gainer
- Wipro, Tata Steel, Titan, Tech Mahindra and Sun Pharma gained
- PowerGird, Axis Bank, Bajaj Fin and SBI among the losers
- All sectoral indices ended on a positive note
- 23 scrips in Sensex pack advanced
Mumbai: Market benchmarks clawed back some lost ground on Tuesday after two days of heavy declines as investors made a cautious return to energy, IT and finance stocks amid supportive global cues. A sharp recovery in the rupee further fuelled the rebound, traders said.
The 30-share BSE Sensex opened strong and rallied to 56,900, before paring some gains to close at 56,319.01, up 497 points or 0.89 per cent. Similarly, the NSE Nifty advanced 156.65 points or 0.94 per cent to 16,770.85.
"Indian market is attempting to recover from Monday's heavy selloff, domestic indices staged a gap-up opening on bargain hunting supported by positive sentiments across global markets. Although concerns surrounding the impact of Omicron and FII selling still lingers, investors are trading cautiously and are optimistic. Gains in IT, commodities and metal stocks lifted the indices higher," said Vinod Nair, head (research) at Geojit Financial Services.
Arijit Malakar, head (research-retail), Ashika Stock Broking, adds: "The market is expected to remain weak amid concerns over the new Omicron strain which could derail the global economic recovery and sooner-than-expected interest rate hikes in developed economies. The market is now sell on rise market as the sustained foreign fund outflows and renewed concerns around Omicron variant of coronavirus may trigger profit taking at higher levels."
