Mumbai: After a three-day long string of big losses, the markets staged a reversal today with benchmark Sensex notching up an over 700-point gain, the fifth biggest rise this year, on return of aggressive support across-the-board.
The 30-share bellwether Sensex on the Bombay Stock Exchange settled the day around 13,664 levels, a rise of 702.94 points, or 5.42%.
Reatly and bank stocks where were hammered in the past three days made a strong come-back and their sectoral indices closed higher by 12.22% and 6.02%, respectively. Metal, consumer goods and IT indices were the other top gainers in the range of 5-6%.
The 50-share S&P CNX Nifty on the National Stock Exchange also scored an impressive gain of 196.60 points, or 5.05%, to close at 4,093.35 levels.
Marketmen said the sudden come-back was a surprise considering a host of negative factors, including high crude oil prices and bearish Asian markets. Global oil prices traded above $141 per barrel in Asian trade on 2 July.
Marketmen also credited the strong surge to sudden entry of Foreign Institutional Investors (FIIs), which were believed to be heavy buyers in equity in the latter part of day.
Analysts termed today’s upswing as a technical bounce as the market had fallen by 1,460 points, or 10%, in the past three days.