Markets rise for 5th session on strong global cues

Mumbai: Rising for the fifth straight day, benchmark BSE Sensex spurted by 809 points in a choppy trade on Thursday a day ahead of the announcement of the RBI policy review. The 30-share BSE benchmark Sensex jumped 809.53 points, or 1 per cent, to settle at 81,765.86. During the day, it soared 1,361.41 points, or 1.68 per cent, to 82,317.74 but pared gains in the pre-close session on profit-taking by investors. The NSE Nifty surged 240.95 points, or 0.98 per cent, to 24,708.40. In the past five trading days, the BSE benchmark has jumped 2,722.12 points or 3.44 per cent.

Analysts said benchmark indices maintained their winning run for the fifth day following buying in IT stocks and a rally in the US markets.

“Dow moving past 45,000 for the first time is an indicator of the strength of the US market rally. The macro construct in the US -- strong growth and declining inflation support this rally. The Fed chief Powell’s remark on Wednesday that the economy is in remarkably good shape is a shot in the arm for the US bulls,” VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

The BSE midcap gauge climbed 0.27 per cent and the smallcap index went up by 0.16 per cent. As many as 2,141 stocks advanced while 1,825 declined and 117 remained unchanged on the BSE.

“The recent market surge has already factored in potential support from the RBI, making the market's reaction to Friday's outcome crucial. While the IT and banking sectors continue to drive the index higher, broader sectoral participation will be essential for extending this rally,” Ajit Mishra, Sr V-P (research), Religare Broking Ltd.

Among sectoral indices, BSE Focused IT soared the most 1.96 per cent, while teck jumped 1.92 per cent, IT by 1.81 per cent and telecommunication 0.95 per cent. Bankex (0.68%) and consumer durables (0.66%) also advanced. BSE services and realty emerged as the laggards.

From the 30-share Sensex pack, Tata Consultancy Services, Titan, Infosys, Bharti Airtel, Bajaj Finance, ICICI Bank, HCL Technologies, and Tech Mahindra were the biggest gainers. NTPC and Asian Paints were the laggards.