After tumbling over, the BSE Sensex and Nifty made a sharp comeback to end at a percent higher on Friday’s trade, following a positive opening in the European markets. The 30-share Sensex jumped up by 1,432 points from intraday’s low and finally closed at 33,781. While Nifty 50 rose, 400 points from day’s low, and finally settled at 9,973.
The indices’ gains in Friday’s session were majorly contributed by Bajaj Finance, Bharti Airtel, HDFC Bank, M&M, and Reliance Industries. Meanwhile, M&M share price surged up by 7.22 per cent after giving a strong performance in the quarter that ended on March 31.
Bajaj Finance, Bharti Airtel, RIL, Sun Pharma, SBI, and Titan were among the other top Sensex gainers. While Infosys, ONGC, Tech Mahindra, TCS, Kotak Mahindra Bank, Power Grid, and Axis Bank were among the top Sensex laggards in Friday’s session.
At the same time, Nifty IT stood top sectoral loser, down with 1.5 per cent and was dragged by Wipro, Tech Mahindra, and NIIT Tech. while the Nifty Auto index jumped up by 3 per cent.
Factors that led to a sharp recovery in Sensex, Nifty:-
Firm global cues and short-covering:
Sensex recovered its crucial 33,000-mark and settled near 34,000 today. “Markets witness a pointy pullback from the first morning trades, with heavyweights, like Auto, Reliance, & Financials, gaining between 2%-6%. Positive global cues including short-covering, have helped the markets recover after the sharp slide,” Aamar Deo Singh, Head Advisory, Angel Broking said.
Dow Jones Futures up 600 points:
The Dow Jones Industrial Average sunk over 1,500 points in overnight trade on Wall Street. “Domestic Markets are purely reacting to global markets, particularly to the DJIA. The Dow Futures are up 600 points today, giving thanks to recovery across global markets once more. It was a purely sentimental move, and people who managed to Sensex push some capital within the markets today when others were fearing, are those who would’ve made a killing within the markets today,” Amit Gupta, Cofounder Tradingbells, told Financial Express Online.
RIL top index contributor:
The major contributor to Friday’s gain was Reliance also supported by technical bullishness, says Vinod Nair, Head of Research at Geojit Financial Services. “Markets tracked the positive opening within the European markets, post the sell-off seen yesterday. Currently, Markets seem to be driven by global cues and stock-specific action is going to be the norm,” Vinod Nair added.