The BSE Sensex climbed nearly 350 points in early trade, and was later seen quoting at 51,324.43, up 298.95 points or 0.59 per cent. The NSE Nifty 50 benchmark breached the 15,200 level in early trade, but was later trading at 15,169.70, up 71.30 points or 0.47 per cent.
“It appears that the US 10-year bond yield is likely to consolidate in the 1.5-1.6 per cent range for the short term. FIIs are back to buying mode with the net buy of Rs 2,850 crore on Tuesday. This along with DII buying of around Rs 1,200 crore is likely to impart strength to the market. Financials, particularly leading private sector banks, and large-cap IT stocks are on a strong wicket. Brent cooling off a bit also is good macro news,” said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
Among stocks, Magma Fincorp climbed 5 per cent to Rs 136.40, after shareholders approved the company’s plan to raise up to Rs 3,456 crore by issuing preference equity shares to Adar Poonawalla-controlled Rising Sun Holdings.
Godrej Properties advanced 3.04 per cent to Rs 1,496. The realty firm has launched a qualified institutional placement (QIP) issue to raise up to Rs 3,750 crore through a sale of shares.
Indian Bank rose 1.07 per cent to Rs 136.75 after its committee of directors gave approval for raising up to Rs 4,000 crore through a share sale. Shareholders of the bank on March 2 had given approval for raising capital.
Among Sensex stocks, IndusInd Bank rose 2.46 per cent to Rs 1,049. M&M, Bajaj Finance, HCL Tech and Tech Mahindra gained over 1 per cent each. Infosys, L&T, Titan and HDFC also added 1 per cent each.
ONGC fell 1.8 per cent to Rs 114.66. Bharti Airtel, ITC, Nestle India and HDFC Bank were some of the stocks falling up to 1 per cent.
On Tuesday, the US House of Representatives voted to advance President Joe Biden’s $1.9 trillion Covid-19 relief bill, clearing the way for the measure to be considered on Wednesday, when it is expected to pass.
US stocks rallied overnight, with the Nasdaq gaining about 4 per cent to recoup heavy losses from the previous session as US bond yields retreated and investors scooped up battered technology stocks, agencies reported. The Dow Jones Industrial Average rose 0.09 per cent to end at 31,832.08 points, while the S&P500 index gained 1.42 per cent to 3,875.47. The Nasdaq Composite climbed 3.69 per cent to 13,073.83.
Following the strong cues, Asian stocks were mostly higher even as some focus was shifted to Chinese markets amid worries about policy tightening in the world’s second-largest economy. Japan’s Nikkei 225 added 0.07 per cent, Hong Kong’s Hang Seng index rose 0.77 per cent while Korea’s Kospi added 0.77 per cent.
