Sensex & Nifty end FY20 with a push by bulls

Dalal Street witnessed an extreme volatility in the past few weeks. However, on Tuesday, i.e. March 31, 2020, Sensex rallied by 1,028.17 points to the level of 29,468.49 which is an increase by 3.62 per cent. Nifty closed at 8,597.75 level, thus increasing by 3.82 per cent or 316.65 points.

The bounce in stock markets is assumed to be created by the bulls marching on the last day of the fiscal year FY20, as investor sentiments were boosted with improvement in the factory data reported by China. Also, reports suggesting that the government has put off implementation of the uniform stamp duty on transfer of capital market instruments to July 1, 2020 brought some relief. With the end of FY20, multi-asset-class investors rebalance their portfolios, which may also have caused for the rally at D-Street. Additionally, domestic investor sentiments reflected some confidence as Asian indices closed in green such as Shanghai was up 0.11 per cent, Hang Seng went up by 1.85 per cent and South Korean index KOSPI rose by 2.19 per cent. Other global indices such as FTSE100 and DAX opened positively and were then trading up by 0.58 per cent and 0.57 per cent, respectively.

Post the previous trading session’s mayhem, Sensex was flooded with gainers with ITC increasing by 7.84 per cent followed by RIL, which was up by 7.76 per cent, ONGC up by 7.64 per cent, Tata Steel up by 6.14 per cent, Asian Paints up by 4.35 per cent, etc.

Sensex losers constituted of IndusInd Bank as it fell by 14.68 per cent, followed by Maruti Suzuki’s drop of 1.23 per cent, Bajaj Finance was down by 1.17 per cent and Titan fell by 1.13 per cent.

Sectoral indices also closed in green with oil & gas-up by 8.72 per cent, FMCG-up by 5.75 per cent, Metal-up by 5.36 per cent and Healthcare was also up by 3.36 per cent. Small-Cap and Mid-Cap index also closed with a positive sentiment on the last day of FY20, which was up by 2.98 per cent and 2.49 per cent, respectively.