Sensex Gains Over 1200 Points Led By RIL And Banks, Ends Above 51,400

A shiny day on the Dalal-Street for the traders as the bulls finally dominated the bears after a correction that occurred in the previous sessions. Sensex gained over 1000 points and bounced back above 51,400 on Wednesday led by Banks, Financials and Metal stocks. The momentum is likely to be sustained further as the foreign investors have turned their interest back to buying into Indian equities as the markets have now recovered from the correction phase, say experts.

Further, the economic development in the country has lifted the sentiment. The GST (Goods and Services tax) collections crossed 1 lakh crore again in the month of February, Positive numbers in sales of Auto sectors and GDP (Gross Domestic Product) in the third quarter of Financial Year 2021 showed a 0.4 per cent growth.  

The 30-share pack Sensex closed higher by 1147 points or 2.28 per cent at 51,444.65. Nifty-50 closed at 15,245.60, up 326 points, or 2.19 per cent.  26 and 43 shares closed with gains in the BSE and NSE index respectively. Overall, around 1800 shares advanced, 1142 declined and 175 remain unchanged.

Reliance Industries contributed the most to the index on Wednesday as shares of RIL closed higher by 4.96 per cent, or Rs 96.10 at Rs 2,202.10. Bajaj Finance and Bajaj Finserv were other top index contributors as they surged over four per cent and five per cent respectively.  

The Bank and Metal stocks led the indices to bounce back higher today as shares of JSW Steel, Tata Steel, PNB, Federal Bank and RBL Bank added major gains. Tata Steel gained over five per cent; PNB gained over six per cent and also made to the top gainers.  

All sectoral indices closed higher except for Auto sector. Metal and Private Banking index gained the most on the sectoral front. The Auto sector declined on profit-booking by traders as the sector rallied heavily in the previous two sessions.  

On the broader market front, the BSE Midcap and Smallcap index gained 1.45 per cent and 1.34 per cent respectively. Strong buying in shares of IDBI Bank and Adani Power led the Midcap index higher. In the Smallcaps, MTNL hit the 20 per cent upper circuit at Rs 16.80.

Going further, the markets will continue to stay positive as concerns of rising inflation and rising bond markets have calmed down and markets over the globe are now positive on better economic development, said, analysts.