Sensex regains 9k level on falling inflation

Sensex regains 9k level on falling inflation

New Delhi: The benchmark Sensex regained the 9,000-point level on Thursday, 4 December, surging 400 points on renewed investor confidence after government data showed inflation much lower than expected at 8.4%.

India’s inflation hit a seven-month-low of 8.4% for week ended 22 November, against 8.84% the preceding week. Sliding inflation along with expected RBI rate cuts raised hopes of investors.

The Bombay Stock Exchange barometer surged 482.32 points to close at 9,229.75 with banking and realty sectors leading the rally. Unitech, the top gainer, rose 14.67% to Rs30.10.

The wide-based National Stock Exchange index Nifty rose 131.55 points at 2,788.

Tata group companies were important gainers in the day’s trading— Tata Motors surged 14.07% to Rs152, followed by Tata Communication (13.03%, Rs428) and Tata Steel (12.54%, Rs185.35).

Meanwhile Asian markets retreated from the opening gains as global economic fears grew among investors. Hang Seng and Nikkei fell by 1% at closing.