Mumbai, Apr 9: The market extended gains for the third consecutive session on Monday as the Sensex rallied more than 200 points intraday following positive lead from global stocks after US-China trade war tensions abated.
Banks, oil and gas, auto and FMCG stocks pushed the Nifty closer to 10,400 levels while technology stocks capped upside.
The 30-share BSE Sensex was up 161.57 points at 33,788.54 and the 50-share NSE Nifty rose 47.80 points to 10,379.40.
“Overall the markets are displaying more strength than weakness, the inherent malaise from the last couple of months seems to have passed. FII and DII numbers are looking up again, MF and SIP investments are also picking up,” Nikhil Kamath, Co-Founder, Zerodha said.
He maintained a long outlook at this point and recommended adding or initiating stock purchases towards a long-term portfolio.
Hemang Jani, Head – Advisory, Sharekhan expects markets to outperform in anticipation of better numbers this quarter particularly from sectors like auto, auto ancillary, select private banks and NBFCs.
The broader markets also participated in the rally, with the Nifty Midcap index rising 0.4 percent on positive breadth. About three shares advanced for every share falling on the BSE.
Global markets were trading higher after the trade war between US and China eased. France’s CAC was up 0.3 percent and Germany’s DAX gained 0.7 percent at 5 pm IST.
Asian stocks closed higher as markets shrugged off declines seen on Wall Street. Japan’s Nikkei, China’s Shanghai Composite, Hong Kong’s Hang Seng and South Korea’s Kospi gained 0.3-1.3 percent.