Open interest on Nifty Futures surged 17 per cent as bulls brutally crushed bears. Banking stocks were especially on a roll thanks to buying in heavyweights. In the process, Nifty Bank hit fresh record highs.
The 30-share pack Sensex soared 2,314.84 points or 5 per cent to close at 48,600.61. The index also recouped two-thirds of the losses that the index suffered in the last six days; it has lost over 3,000 points. Its broader peer NSE Nifty advanced 646.60 points or 4.74 per cent to 14,281.20.
“The Union Budget 2021 is a boon for the equity market with all the essential aspects of growth supported by an increase in government spending without an increase in indirect taxes. Proposal for the privatisation of 2 PSU banks and measures to curb the impact of NPAs helped the banking index to lead the soaring rally. Higher government spending in Infrastructure and increased FDI limit in Insurance improved the overall outlook of these sectors,” said Vinod Nair, Head of Research at Geojit Financial Services.
Investors grew richer by Rs 6.40 lakh crore as the market capitalisation of BSE-listed firms rose to Rs 192.53 lakh crore.
Market at a glance:
- IndusInd Bank surges 15% following Q3 earnings
- Investors binge on ICICI Bank as stock surges 13% post Q3
- UPL emerges as top Nifty loser, drops 4% following Q3 show
- Nifty Pharma sole sectoral loser dragged by DRL, Cipla
- India VIX plunges 8% to 23-level as nervousness wanes
