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Sensex snaps 3-day losing streak, jumps 271 points; Nifty ends near 12,200

BSE Midcap and BSE Smallcap indices gained 1.06 per cent and 0.95 per cent, respectively.

, ETMarkets.com|
Last Updated: Jan 23, 2020, 04.24 PM IST
Engineering and construction firm Larsen & Toubro was the top Sensex gainer.
Mumbai: BSE benchmark Sensex snapped its three-session losing streak on Thursday, ignoring the slump in global shares, led by gains in bank stocks and index heavyweights Infosys and L&T.

However, analysts cautioned that gains could be capped in the coming few sessions as quarterly corporate earnings are below Street expectations.

The 30-share Sensex rose 0.66 per cent or 271 points to close at 41,386, while the 50-share Nifty climbed 0.60 per cent or 73 points to 12,180.

The bulls were back in favour, with advancing shares beating declining ones in the ratio of 3:2 on BSE.

Market at a glance
Broader markets continued to outperform the benchmark. BSE Midcap and BSE Smallcap indices gained 1.06 per cent and 0.95 per cent, respectively. BSE 500 index advanced 0.77 per cent.

All the sectoral indices closed in the green with BSE Capital goods and BSE Realty leading the gainers’ pack, rising 2.33 per cent and 2.04 per cent, respectively.

Of the 30 Sensex stocks, 22 closed on a positive note.

Engineering and construction firm Larsen & Toubro was the top index gainer. It advanced 2.98 per cent after reporting a 15 per cent rise in third-quarter net profit.

M&M, SBI, Titan, Infosys and Bharti Airtel were among other gainers in the Sensex kitty of stocks.

On the other hand, Tech Mahindra, TCS, Bajaj Auto were the top losers, shedding up to 1.19 per cent.

Among off the main board stocks, shares of private lender YES Bank rallied 6.50 per cent after State Bank chairman said YES Bank ‘will not be allowed to fail’.

Shares of AU Small Finance Bank and Ujjivan Small Finance Bank rallied 9.93 per cent and 4.38 per cent, respectively after they reported nearly 100 per cent rise in net profit for the quarter ended December 31.

State-run ITI tumbled 6.86 per cent as its FPO price band set at Rs 72-77 per share.

Analysts’ views
"The Nifty 50 index rallied from its medium-term average of 12,105. The near-term oscillators remain in sell mode. The counter-trend rally may terminate around 12,200 - 12,260, based on the weak setup of key indicators.”
-- Arun Kumar, market strategist, Reliance Securities.

“We feel that a cautious trend will be maintained in the near-term since a lot has been factored in the market about Budget wish list and revival in earnings growth, while the start to Q3 result is below par.”
-- Vinod Nair, head of research, Geojit Financial Services

Global markets:
World shares fell on Thursday, led by the biggest decline in Chinese stocks in more than eight months, as concern mounted about the spread of a deadly virus in China, Reuters reported.

With millions of Chinese preparing to travel for the Lunar New Year, the potential of the disease to spread, along with the tendency of traders to reduce their exposure before holidays, left markets struggling.

MSCI’s broadest index of Asia-Pacific shares outside Japan fell 1.07 per cent.
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