Sensex surges 568 points on strong Asian markets

They feel if foreign funds do not come to buy in the Indian market, it would be hard for it to sustain the gains. The massive corrections made prices attractive and triggered value buying. Twenty-seven of Sensex’s 30 members rose.

On Friday, the rupee had recovered 7 paise to end at 68.23 per dollar on fresh selling of the American currency by banks and exporters in view of mild recovery in domestic equities. Hinting at major banking sector reforms in the offing, Finance MinisterArun Jaitley yesterday said the country is not at a stage where the government can completely exit its holding in the 27 public sector banks.

Mumbai: The benchmark BSE Sensex surged by 137 points to 23,691.10 and the NSE Nifty recaptured the 7,200-= mark in early trade today amid a firming trend at other Asian markets.

The S&P BSE Sensex, which opened at 23,223.43 points, closed at 23,554.12 points – up 568 points or 2.47 per cent from the previous day’s close at 22,986.12 points.

Meanwhile, the Sensex surged by 312.46 points or 1.35 per cent to 23,298.58 in early trade.

At BSE, 2,001 stocks advanced, while 660 declined.

Following the bounce back in stocks, market sentiment improved and consequently the market capitalisation (m-cap) of BSE-listed firms went up by Rs 2.52 lakh crore to Rs 88,62,680 crore.

Market mood changed for the better after Asia rebounded from recent weakness as fears over global economic slowdown eased and crude prices rallied.

“Further, our markets are underperforming its Asian peers which are trading with handsome gains”.

“Broader markets snapped its five days of losses, outperforming the headline indices”, Shankar noted.

“All sectorial indices are undergoing profit booking, with PSU bank index down 3.5 percent at the moment”.

BSE Metal and BSE Capital goods saw a strong rebound, with a 8.79% and 6.73% rise, respectively. Shanghai’s Composite index, however, was down 1.57 points.