Sensex zooms 1850 points to close at over 28,000, Nifty inches close to 8,300 as RIL and bank stocks rallies
New Delhi | Jagran Business Desk: The BSE Sensex on Wednesday zoomed over 1,850 points to end at 28,535.78 while the Nifty surged 516.80 points to close at 8,317.85. This comes a day after the government announced a relief package for the coronavirus-hit sectors.
The government on Tuesday announced a number of steps that the government has decided to take for the economy. The government also said that it will bring an economic bailout package to help the coronavirus-hit sectors.
Domestic market was also enthused by recovery in global stocks after the US Senate and White House reached agreement on a USD 2 trillion stimulus package for the US economy.
Reliance Industries was the top gainer in the Sensex pack, rallying up to 15 per cent, followed by Kotak Bank, Maruti, HDFC twins, Titan, L&T and Axis Bank.
On the other hand, IndusInd Bank, ONGC, ITC and Bajaj Auto closed with losses.
In the previous session, the BSE benchmark closed 692.79 points or 2.67 per cent higher at 26,674.03, after a highly volatile trading session. Likewise, the NSE barometer settled 190.80 points, or 2.51 per cent, up at 7,801.05.
According to traders, investors are weighing the economic impact of the 21-day lockdown announced last night. In an unprecedented drastic measure to curb the spread of coronavirus, Modi said the lockdown will be in force from Tuesday midnight, as he announced a central allocation of Rs 15,000 crore to strengthen the health infrastructure to tackle the disease.
According to V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, enforcement of the 21-day lockdown of the nation will be a major challenge. Ensuring supplies to all households is not going to be easy, but has to be done. The temporary shock to the economy will be huge.
Bourses in Shanghai, Hong Kong, Tokyo and Seoul rallied up to 5 per cent. Stocks on Wall Street rallied up to 11 per cent in overnight trade.
Incessant foreign fund outflow also kept domestic market participants risk-averse, traders said.
On a net basis, foreign institutional investors sold equities worth Rs 2,153.35 crore on Tuesday, data available with stock exchanges showed.
Global oil benchmark, Brent crude futures rose 2.43 per cent to USD 27.81 per barrel.
The total number of active Covid-19 cases in India stood at 512 on Wednesday morning, as per health ministry log.
The number of global Covid-19 infections has shot past 4,20,000. Worldwide fatalities have topped 18,000.
(With PTI inputs)
Posted By: Aalok Sensharma