Stocks rose for the first time in four days as market benchmark Sensex rebounded from over three-week lows by rising 160.48 points to 25,262.21 on value-buying in recently beaten-down stocks and firm global cues. In addition, the rupee supported the recovery as it rose by 10 paise to 66.45 in intra-day trade against the dollar.
Meanwhile, Lok Sabha passed the Finance Bill 2016 after Finance Minister Arun Jaitley moved 55 amendments to the bill. The Centre provided a thrust on infrastructure, agriculture and rural sectors in the Budget 2016-17. Still, sentiment remained jittery in view of lackluster quarterly earnings by some blue-chips, traders said.
“Even though there was little positive sign from slipping global equities, consecutive days decline rendered Indian stocks attractive for value buyers,” said Anand James, Chief Market Strategist, Geojit BNP Paribas Financial Services.
Further market momentum will also be assessed based on the outcome of US non-farm payroll and the unemployment data slated tomorrow, he added. The 30-share Sensex after opening higher at 25,187.66 advanced to hit the day’s high of 25,394.10. However, selling at improved levels at the fag-end, trimmed gains and the index finally settled 160.48 points or 0.64 per cent higher at 25,262.21. It had lost 505 points in the previous three days.
The 50-share NSE Nifty bounced back by 28.95 points or 0.38 per cent to 7,735.50. Bucking the trend, broader markets remained under pressure with mid-cap and small-cap indices falling by up to 0.09 per cent. Shares of HDFC Ltd topped the gainers list among Sensex constituents, rising 2.90 per cent to Rs 1,163.85 on the back of encouraging Q4 earnings.
Overseas, Europe was higher, buoyed by some solid earnings numbers. Key indices from the region like France, Germany and the UK moved up by 0.18 per cent to 0.59 per cent.
Asian stocks showed mixed trend following slowdown in growth in China’s services sector. However, the data triggered speculation of likely stimulus for Chinese economy, thereby aiding recovery in mainland China. Key indices in Hong Kong, Singapore and Taiwan moved up by 0.19 per cent to 0.37 per cent while China’s index firmed up by 0.22 per cent.