Markets rebound; Sensex, Nifty climb nearly 1%

The Bombay Stock Exchange (BSE) in Mumbai. File Photo
| Photo Credit: REUTERS

Equity benchmark indices ended nearly 1% higher on Thursday amid continuous foreign fund inflows and buying in index majors HDFC twins and Reliance Industries.

The 30-share BSE Sensex climbed 555.95 points or 0.91% to settle at 61,749.25. During the day, it rallied 604.61 points or 0.98% to 61,797.91.

The broader NSE Nifty advanced 165.95 points or 0.92% to end at 18,255.80.

From the Sensex firms, Bajaj Finance, HDFC, HDFC Bank, Bajaj Finserv, Asian Paint, State Bank of India, Tata Consultancy Services, Bharti Airtel, Reliance Industries and Tata Steel were the biggest gainers.

HDFC climbed 2.59% after the housing finance major on Thursday reported a 20% growth in standalone net profit to ₹4,425 crore for the quarter ending March 2023 on the back of higher interest income.

IndusInd Bank, Nestle, Power Grid, ITC, Tata Motors and Mahindra & Mahindra were the major laggards.

Foreign Institutional Investors (FIIs) were net buyers on Wednesday as they bought equities worth ₹1,338 crore, according to exchange data.

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

Equity markets in Europe were trading lower. The U.S. markets had ended in the negative territory on Wednesday.

The U.S. Federal Reserve reinforced its fight against high inflation on Wednesday by raising its key interest rate by a quarter percentage point to the highest level in 16 years.

But the Fed also signalled that it may now pause its streak of 10 rate hikes, which have made borrowing for consumers and businesses steadily more expensive.

“Following a widely expected rate hike by the Fed and consistent foreign support, the domestic equities resumed its bullish momentum, driven by gains across major sectors. However, the U.S. market faced losses as the Fed reiterated concerns over elevated inflation despite softening its language on future rate hikes. Signs of returning contagion fears in regional U.S. banks also weighed on the global market mood,” said Vinod Nair, Head of Research at Geojit Financial Services.

The BSE benchmark had declined 161.41 points or 0.26% to settle at 61,193.30 on Wednesday. The Nifty fell 57.80 points or 0.32% to end at 18,089.85.

Meanwhile, global oil benchmark Brent crude gained 1.18% to $73.15 per barrel.