Sensex zooms 489 points, Jet Airways soars over 90%

Sensex zooms 489 points, Jet Airways soars over 90%

 

New Delhi, Jun 20: Equity indices finished with heavy gains on Thursday as the benchmark BSE sensex jumped nearly 500 points amid strong global cues following US Federal Reserve’s rate-cut hints.
Sensex soared 489 points or 1.25 per cent to close at 39,602, while the broader NSE Nifty moved 140 points or 1.20 per cent higher to settle at 11,832.
Top gainers on the BSE index include Yes Bank, IndusInd Bank, Sun Pharma, L&T, ICICI Bank, Bajaj Auto and Maruti with their shares rising as much as 11.75 per cent. 27 out of 30 stocks finished in green.
On NSE, all sub-indices witnessed gains with Nifty Pharma, PSU Bank and Nifty Auto rising the most, up as much as 3.06 per cent.
The US central bank on Wednesday left rates unchanged, opening the door to an interest rate cut soon, saying uncertainties about the economic outlook are on the rise and vowing to act to keep the economy growing.
“Rate cuts are always good for the market. Inflation is low and if we need to have a balanced economy, interest rates must match the inflation,” Madhumita Ghosh, associate dean at Tasmac Global Solutions said.
Surprisingly, Jet Airways shares surged as much as 122.21 per cent on the NSE platform to Rs 73.55. The stock moved 93.35 per cent higher on BSE.
The State Bank of India (SBI)-led consortium of lenders to Jet said on Monday that it had decided to “seek resolution under the Insolvency and Bankruptcy Code (IBC) as only a conditional bid was received and requirement of the investor for Sebi exemptions and resolution of all creditors is possible under IBC”.
The National Company Law Tribunal (NCLT) is expected to issue an order on whether the bankruptcy case will be admitted or not.
Apart from owing Rs 8,500 crore to public sector banks, Jet has a total liability of about Rs 25,000 crore, which includes dues of operational creditors. The airline suspended its entire operations on April 17.
YES Bank shares tumbled to a double-digit value of Rs 98.75 per share, down 4.6 per cent intra-day, for the first time in almost half a decade as investors’ sentiment eroded due to the bank’s exposure to debt-laden companies. However, the stock ended the day 11 per cent higher at Rs 114.55.
Shares of Adani Green rallied 3.66 per cent to Rs 41.10 on Thursday, a day after the company announced that its wholly-owned subsidiary Adani Renewable Energy Park (Gujarat) has bagged 600 MW wind-solar hybrid projects in an auction conducted by state-run Solar Energy Corporation of India (SECI).
Meanwhile, on a net basis, foreign institutional investors sold equity worth Rs 97.05 crore, and domestic institutional investors offloaded shares to the tune of Rs 104.91 crore, provisional data available with stock exchanges showed on Wednesday.