The benchmark BSE Sensex rose over 36 points to 26,101 in early trade Thursday, extending its climb for the third straight day on short-covering in view of April derivatives series expiry and positive global cues.
A firming trend in most of Asia, tracking overnight gains in the US after the Federal Reserve kept its benchmark interest rate unchanged, gave buying in domestic markets a leg-up, traders said.
Taking note of improvement in the labour market, the US central bank cited slower economic growth for its policy move while signalling faith in outlook of the economy.
- Sensex soars 128 points in early trade on firm global cues, rupee weakens by 10 paise
- Rupee crashes 52 paise on deficit woes, rising crude oil prices
- Sensex, Nifty turn negative on weak global cues
- Sensex falls over 50 pts on negative global cues, rupee weakens
- Rupee falls to 6-month low, down 29 paise to 65.49 vs dollar
- Sensex rallies by 323 points as March derivative series starts on strong note
In a related development, the Bank of Japan too kept rates steady.
The 30-share index was trading higher by 36.42 points, or 0.13 per cent, to 26,100.54. The gauge had gained 385 points in the previous two sessions.
That apart, better-than-estimated earnings by some companies came as a positive for sentiment.
The NSE Nifty rose 10.30 points, or 0.12 per cent, to 7,990.20 in early trade.
Short-covering by participants with Thursday being the last trading session of April series contracts in the derivatives segment supported the upmove.
Telecom major Bharti Airtel surged 2.26 per cent to Rs 3,481.60 after the company yesterday reported a 2.8 per cent jump in net profit at Rs 1,290 crore for the fourth quarter to March 2016.
Hong Kong’s Hang Seng firmed up 0.22 per cent while Japan’s Nikkei moved higher by 1.41 per cent in early hours today. The Shanghai Composite Index, however, was down 0.76 per cent.
The US Dow Jones Industrial Average ended 0.28 per cent higher on Wednesday.