Mumbai: The Stock markets continued their upward rally for the fourth consecutive day on 22 March and the key BSE Sensex regained the 13,000-mark with a massive 362 point jump as strong global cues triggered buying in frontline shares.
The BSE bellwether index opened higher by 126 points at 13,071.81 and later surged to the day’s peak of 13,326.24. The 30-share index later ended the day at 13,308.03, a net rise of 2.8% over the previous close of 12,945.88.
The rally was driven by expectations for an upsurge in FII buying, positive impact of strong US markets on IT firms and a sharp recovery in banking stocks.
The US as well as most Asian markets moved higher after the US Federal Reserve decided to keep interest rates unchanged, without indicating any further tightening measures in the near future. This unleashed a buying spree in world markets, brokers said.
The broader S&P CNX Nifty of the National Stock Exchange (NSE) also flared up by 111.35 points or 2.96% to 3,875.90 from previous close of 3,764.55.
In Asian markets, Hong Kong’s Hang Seng jumped by 173.84 points, Japan’s Nikkei by 256 points, Singapore’s Straight Times by 63.82 points, Taiwan’s Weighted Index by 66.64 points and South Korea’s Kospi by 5.68 points.
Foreign Institutional Investors (FIIs) reportedly covered large chunk of their short positions in derivatives during the day after their heavy inflows of Rs 2,481 crore in the first three days of week. They also reported net purchases in the cash segment on 20 and 21 March.
The top heavyweight RIL stole the limelight and scored a 2.55 per cent rise at close.