Markets rally for 2nd day on buying in IT stocks, fresh foreign inflows

Mumbai, November 16

Benchmark equity indices ended with gains on Thursday as sentiments turned buoyant amid fresh foreign inflows and buying in IT counters.

Softer-than-expected US inflation data and easing bond yields have bought optimism in equities.

Rising for the second session in a row, the 30-share BSE Sensex climbed 306.55 points or 0.47 per cent to settle at 65,982.48. During the day, it jumped 682.44 points or 1 per cent to 66,358.37.

The Nifty gained 89.75 points or 0.46 per cent to 19,765.20.

Among the Sensex firms, Tata Consultancy Services, HCL Technologies, Tech Mahindra, Infosys, Bajaj Finance, NTPC, Mahindra & Mahindra and Bajaj Finserv were among the major gainers.

Axis Bank, Power Grid, ITC and ICICI Bank were the major laggards.

In Asian markets, Seoul settled in the green, while Tokyo, Shanghai and Hong Kong ended lower.

European markets were trading on a mixed note. The US markets ended with gains on Wednesday.

Global oil benchmark Brent crude declined 0.54 per cent to USD 80.74 a barrel.

Foreign Institutional Investors (FIIs) turned buyers on Wednesday as they bought equities worth Rs 550.19 crore, according to exchange data.

“The Indian market continued its positive resurgence, tracking global gains. Softer-than-expected US inflation data and easing bond yields have bought optimism that spending will emerge like in technology.

“Taking the cues further, IT stocks showed a significant jump in the broader market. The market is sensing that export-based sectors like IT and pharma could be future winners. While cut in inflation will also benefit domestic placed staples and consumer sector,” said Vinod Nair, Head of Research, Geojit Financial Services.

The BSE benchmark jumped 742.06 points or 1.14 per cent to settle at 65,675.93 on Wednesday. The Nifty climbed 231.90 points or 1.19 per cent to 19,675.45.