New Delhi: Markets rallied for a second straight session on sustained buying and firm Asian and European markets on Wednesday.
The Bombay Stock Exchange benchmark Sensex opened with decent gains, surging through most of the day to push the Sensex up by 2.2%, ending at its 10 months high.
Finance Minister Pranab Mukherjee’s plea with banks to cut interest rates further in order to provide cheap credit to recover economic growth also boosted sentiments.
Domestic indices were also reacting to comments from the Prime Minister yesterday that India can achieve a growth of 8% to 9% with a high savings rate.
All sectors barring realty ended in green, most of the buying was witnessed among power, capital goods, consumer durables, banking and health care sectors. Realty index fell by 1.14%.
The 30-share BSE Sensex closed higher by 339.81 points or 2.25% at 15,466.81 and the 50-share NSE Nifty closed up by 104.30 points or 2.29% at 4,655.25.
Picking gains on BSE Sensex pack, Tata Power led the rally by 6.43% to Rs 1,213.65, followed by Reliance Infra by 5.99% to Rs1,218.10, HDFC bank by 5.56% to Rs1,494.20, Ranbaxy Laboratories by 5.44% to Rs298.55, ACC by 5.40% to Rs897.35, Reliance Communications by 5.30% to Rs349.85, Bhel by 4.62% to Rs2,352.80 and Larsen & Toubro by 3.80% to Rs1,633.65.
Among the few losers were Tata Motors down by 1.95% to Rs361.30, DLF by 1.71% to Rs395.80, Sun Pharmaceuticals by 0.83% to Rs1,324.80 and State Bank of India (SBI) by 0.37% to Rs1,756.75.
Asian markets also closed in green with Japan’s Nikkei closing 2.1% up on its eight-month closing high and Hong Kong’s Hang Seng rose by 4%.