Sensex and Nifty, the two key equity benchmarks, on Friday closed higher for the second straight trading session amid volatility, backed by renewed buying interest in IT and banking stocks. The domestic indices also got thrust from the gains of realty shares.
The S&P BSE Sensex gyrated in a range of 675 points, the index from a high of 58,179 slipped into red to a low of 57,504. The benchmark finally ended 355 points higher at 587,990. On the other hand, the NSE Nifty 50 moved 114 points higher and reclaimed 17,100 level.
On the 30-share Sensex platform, HCL Technologies soared over 3.5 per cent. UltraTech Cement, Nestle, and Kotak Bank were the other major gainers, up over 2 per cent each. Tata Steel, ICICI Bank, HDFC, HDFC Bank, Bharti Airtel, Infosys, SBI, and Wipro were the other major gainers. On the flip side, ITC, Maruti, Power Grid, NTPC, Asian Paints were among the losers.
Among specific stocks, TCS swung between zones and finally ended a tad in red at Rs 3,172, a day after its CEO & MD Rajesh Gopinathan resigned. Analysts caution against the near-term volatility in the stock price as the development comes amid a challenging macro-environment including fears of a potential recession in the US.
In the broader markets, the BSE Midcap was up 0.3 per cent and Smallcap index added 0.7 per cent.
Sectorwise, barring auto and FMCG, all other sectoral indices ended in the green.
In the previous session on Thursday, the S&P BSE Sensex at the end closed marginally higher by 79 points to 57,634. On the other hand, the NSE Nifty50, which dipped to a low of 16,850, settled 13 points higher at 16,986.
“Following the sharp rebound in the global markets, the domestic indices took a breather in hopes of relief from the global banking turmoil. Global equities reversed their selling streak on reports of a rescue package for the beleaguered First Republic Bank, along with aid provided to Credit Suisse from the Swiss Central Bank, which would soothe concerns over global financial stability. On the other hand, the ECB further raised its rates by 50 bps, indicating its preparedness to provide liquidity to banks upon necessity,” said Vinod Nair, Head of Research at Geojit Financial Services.
Elsewhere in Asia, equity markets in Shanghai, Tokyo, Seoul, and Hong Kong logged gains. Equity exchanges in Europe were trading in the green in mid-session deals. Major indices on Wall Street closed in the positive territory in the overnight trade.
Global equities gained on Friday as government and institutional support to stem a potential banking crisis helped improve sentiments.
International oil benchmark Brent crude rose 1.16 per cent to $75.57 per barrel.
Foreign Institutional Investors (FIIs) offloaded shares worth a net Rs 282.06 crore on Thursday, according to exchange data.
Meanwhile, the rupee reversed its four-day losing streak and rose 18 paise to 82.58 (provisional) against the US dollar on Friday, tracking positive sentiments in the domestic equity markets. Traders said a weak dollar overseas also supported the rupee.
At the interbank foreign exchange, the domestic unit opened strong at 82.50 against the dollar and traded between 82.50 and 82.75. It finally settled at 82.58 (provisional) against the American currency, registering a gain of 18 paise against its previous close. On Thursday, the rupee settled at 82.76 against the US dollar.