Sensex and Nifty defied gravity as investors scooped up IT and FMCG shares

Spread the News

Sensex and Nifty defied gravity as investors scooped up IT and FMCG shares

For the second straight session on December 23, the Sensex and Nifty defied gravity as investors scooped up IT and FMCG shares amid a firm trend in global markets.

A recovery rupee and the declaration of global drugmakers that their COVID-19 vaccines will operate against a new strain of coronavirus in the UK. Investor trust was further shored up, traders said.

At 46,444.18, the 30-share BSE Sensex rallied 437.49 points or 0.95% to close.

The wider NSE Nifty also increased 134.80 marks, or 1%, to 13,601.10.

HUL, followed by Infosys, M&M, SBI, ITC, IndusInd Bank, Bajaj Finance, Asian Paints, Bharti Airtel, and TCS, was the top winner in the Sensex pack, spurting 2.67 percent.

Just four index elements, Titan, PowerGrid, NTPC, and HDFC, closed lower, shedding up to 0.81%.

After drug companies including BioNTech, Moderna, and AstraZeneca exuded confidence that their COVID-19 vaccines would be successful against the latest virus strain identified in the U.K., global markets were overwhelmingly optimistic.

Profits were, however, capped after the U.S. Because of the “ridiculously low” $600 assistance for individuals, President Donald Trump proposed vetoing the $900 billion economic aid package approved by Congress.

“In the midst of concerns about new virus strain, lockdown, and poor global signals, fuelled by IT, mid and small caps, the market continues its rally. The additional stimulus announced in the U.S. did not gain much traction on the global market as the benefit quantum was well-factored, but the buoyancy is sustained by Europe and emerging markets.

In the coming days, the market will also concentrate on Brexit trade deals, which are expected to be concluded soon, and the economic fallout due to strict lockdown.

The gains ended with all sectoral indices. BSE land, metal, IT, telecom, tech, FMCG, and industrial indices have increased by as much as 3.97%.

The BSE midcap and smallcap indices rose up to 2.65 percent in the wider markets.

Elsewhere in Asia, Shanghai, Seoul, Hong Kong, and Tokyo’s stock exchanges ended on a positive note.

Stock exchanges in Europe were also trading in early deals with gains.

Meanwhile, Brent crude futures, the global oil standard, rose 0.12 percent to $50.14 per barrel.

The rupee snapped its two-day losing streak to settle against the U.S. dollar higher by 8 paise at 73.76.

Spread the News

Leave a Reply

Your email address will not be published. Required fields are marked *

%d bloggers like this: