Nearly 600 points surge in Sensex as banking stocks lead the way

In continuance of its rally for the second consecutive session, Sensex gained by 1.88 per cent or 595.37 points to close at 32,200.59 level thus, reclaiming its 32,000-mark while Nifty climbed up by 175.15 points which is 1.88 per cent higher than its previous close, to reach 9,490.10 level, on Thursday.

Banking and financial stocks continue their momentum, pushing the Sensex index higher during the second successive trading session. Market experts speculate value buying and short covering to be possible reasons for the increased momentum and believe that it will not last for long.

European stocks such as FTSE 100, DAX and CAC40 were trading in green, up by 0.53 per cent, 0.091 per cent and 0.33 per cent respectively, having absorbed positive global sentiments about reopening of economies as well as the easing up of lockdown restrictions.

There was a 2.32 per cent surge in Nikkei index, possibly attributable to the hopes of a quick economic normalization, while Shanghai index increased by 0.33 per cent. On the other hand, Hong Kong's Hang Seng index fell by 0.72 per cent, as China intends to implement the national security law in Hong Kong, thus, feeding the rising concerns over US-China tensions. As inventories rose more than expected, WTI crude price fell by 1.83 per cent to US$ 32.21 per barrel.

Sensex gainers consisted of LT gaining by 6.17 per cent, Hero MotoCorp increasing by 5.52 per cent, IndusInd Bank going up by 4.95 per cent, HDFC Bank rising by 4.56 per cent, Maruti rallying by 4.37 per cent, etc. Sensex losers were ITC declining by 0.83 per cent, SBI decreasing by 0.19 per cent and Bharti Airtel which fell by 0.05 per cent.

Amongst sectoral indices, Bank Nifty gained by 2.45 per cent while Nifty Auto rose by 3.65 per cent. On BSE, Capital Goods index was the highest gainer, up by 5.11 per cent.