Sensex adds 1564pts, Nifty tops 17750 in broad-based rally; financials lead

CLOSING BELL: Benchmark indices clocked their biggest intra-day gain since May 20 as broad-based buying emerged across sectors

CLOSING BELL

Stock market highlights: Benchmark indices clocked their biggest intra-day gain since May 20 as broad-based buying emerged across sectors. The S&P BSE Sensex clocked a one-way rally of 1,564 points, or 2.7 per cent, to end at 59,537. The Nifty50, too, surged 446 points, or 2.58 per cent, to close at 17,759.

All the 50 constituents of the Nifty50 index settled higher with Bajaj twins, IndusInd Bank, ICICI Bank, Tech M, Tata Motors, Kotak Bank, HDFC, HUL, Tata Steel, Axis Bank, HDFC Bank, and SBI jumping between 3 per cent and 5.4 per cent.

According to Devang Mehta, Head – Equity Advisory at Centrum Wealth, Indian markets bounced back with renewed vigor after a sharp fall on Monday, led by the inflation and interest rate rhetoric from the US. 

"Though India can't decouple from the rest of developed and emerging markets, there is a strong expectation of relative outperformance on the back of improved macros, robust trend in most of the high frequency indicators, progress and coverage of monsoon, lower commodity prices, improvement in credit growth, expectation of big festive demand after a long Covid induced slowdown, capex roadmap by public and private sector, and improvement in corporate profitability," he said.

While the broader markets underperformed the frontline indices, they managed to end over 1 per cent higher each. The BSE MidCap index added about 2 per cent, while the BSE SmallCap index gained 1.3 per cent.

Sectorally, it was a sea a green on the bourses led by the Nifty Financial Services index (up 3.5 per cent), the Nifty Realty index (3.4 per cent), the Nifty Bank index (3.3 per cent), and the Nifty IT and Auto indices (2.6 per cent each).