Business Today
Loading...

Sensex rises 592 points, Nifty closes above 11,225 on hopes of economic stimulus

Asian markets began the fresh trading week with modest gains after data released Sunday showed China's industrial enterprises grew for a fourth consecutive month. European stocks turned positive, tracking global rally

Rupa Burman Roy | September 28, 2020 | Updated 17:23 IST
Sensex rises 592 points, Nifty closes above 11,225 on hopes of economic stimulus
All the sectoral indices ended in the green, with Nifty bank and metal index rising over 3% each

Indian benchmark indices settled higher for the second session on Monday as hopes of capital infusion by the government cheered markets globally. The 30-share BSE benchmark Sensex ended 592 points higher at 37,981, while Nifty gained 177 points to trade at 11,227. Bajaj Finance followed by ONGC, NTPC, Tata Steel, Bajaj Finserv and Axis Bank were among the top gainers on Sensex. On the other hand, Infosys, TCS, Bharti Airtel and HUL were the laggards.

According to Ajit Mishra, VP - Research, Religare Broking," The recovery was broad-based wherein noticeable rebound was seen in auto, banking and financial stocks after investors' hopes increased on the likely announcement of an additional stimulus package by the government. Market participants will be closely eyeing the outcome of Reserve Bank of India's monetary policy review meeting scheduled on October 1."

All the sectoral indices ended in the green, with Nifty bank and metal index rising over 3% each.

Asian markets began the fresh trading week with modest gains after data released Sunday showed China's industrial enterprises grew for a fourth consecutive month. European stocks turned positive, tracking global rally.

US markets closed higher ahead of the U.S. presidential debate on Tuesday and the release of U.S. economic data later in the week.  Both Dow and S&P 500B gained 1.5% each. Nasdaq surged 2.3% on hopes of the US Govt to announce a stimulus package.

Global cues were positive, with Nasdaq Futures up by 2.26% and Dow Futures trading up by 1.34%.

Vinod Nair, Head of Research at Geojit Financial Services said, "Global cues were also positive following positive industrial profits data from China, setting aside concerns about the increasing virus infections and related impact. Indian markets were also banking on further stimulus and other measures by the government to boost the economy."

Investors are also keeping a close watch on the spike in coronavirus cases, heightening fears of a global economic downturn. Worldwide, there were 333 lakh confirmed cases and 10.02 lakh deaths from COVID-19 outbreak. India's COVID-19 caseload breached the 60-lakh mark and the death toll from COVID-19 infections rose to 0.95 lakh.

In upcoming domestic cues, RBI is set to begin its three-day monetary policy meeting on Tuesday. Overseas, the US will release its CB consumer confidence data on Tuesday, while Euro will take cues from ECB president's speech on Monday and Wednesday.

Aamar Deo Singh Head Advisory, Angel Broking said," Overall Nifty has technically, very strong support zone around 10800-11000 whereas resistance on the upside is seen around 11350-11400 zone."

The Indian rupee, the local currency benchmark fell 18 paise lower to settle at 73.79 per US dollar on Monday as against the previous close of 73.61 against the US dollar.

On the domestic currency's outlook, Vaqarjaved Khan-Research Analyst, Angel Broking said," With easing monetary policy from US FED here to stay, USDINR (CMP: 73.7) is likely to move lower towards 72.5 in the coming week. (28th Sep-2nd Oct 2020)." 

Jet Airways share hits upper circuit of 5%, here's why

Mazagon Dock Shipbuilders IPO opens Sept 29; key things to know

NTPC share price rises 4% after CLSA retains buy call with target of Rs 140

Computer Age Management Services IPO: How to check allotment status

Youtube
  • Print

  • COMMENT
BT-Story-Page-B.gif
A    A   A
close