Sensex rebounds 180 points after volatile intra-day tradehttps://indianexpress.com/article/business/market/sensex-rebounds-180-points-after-volatile-intra-day-trade-5511036/

Sensex rebounds 180 points after volatile intra-day trade

The rupee closed the day at 70.08 per dollar, with marginal gain of 8 paisa.

Sensex rebounds 180 points after volatile intra-day trade
The benchmark Nifty at the NSE gained 66 points or 0.62 per cent to close at 10,729 on Wednesday. (File)

Tracking the fall in the US markets on Monday and the sharp correction in several Asian markets on Tuesday, the benchmark Sensex at the BSE fell 460 points or 1.3 per cent in the early trading hours on Wednesday, before recovering to close the day at 35,649.9, up 179.8 points or 0.5 per cent over Monday’s closing.

The benchmark Nifty at the NSE gained 66 points or 0.62 per cent to close at 10,729 on Wednesday.

The Sensex remained hugely volatile in the day as it moved 700 points during the day, but closed higher tracking the recovery in US markets. The Sensex broke its three-day falling streak (where it lost an aggregate of over 1,000 points) as it gained 0.51 per cent on Wednesday.

Viral Berawala, CIO, Essel Mutual Fund said that the global sell-off continued to impact the Indian markets in the early trading hours. “Markets recovered in the second half following a recovery in Dow futures,” he said

Advertising

Markets worldwide have been under pressure over the last week over concerns of slowdown in global growth, hike in interest rates by the Federal Reserve, tariff war between the United States and China and growing tensions between US President Donald Trump and Federal Reserve chairman Jerome Powell.

While drop in crude oil prices brought some relief to Indian equities and currency, a fall in global equity markets has had some impact on Indian markets too.

“We believe concerns over US economic slowdown and the holiday season across global markets will keep the sentiments muted for a while. On the domestic front, GST rate cut on certain items has boosted sentiments. Further, rupee appreciation vs USD as well as oil price correction are also positive for the Indian markets. However, we would maintain cautiously optimistic approach on the markets given global headwinds,” said Jayant Manglik, president, Religare Broking.

He added that any correction companies with strong fundamentals should be seen as a buying opportunity by investors.

Hemang Jani, head – advisory at Sharekhan too said that globally, investors would closely track political developments in US and slowdown in global economies.

On Wednesday, Bharti Airtel (3,9 per cent) emerged the biggest gainers among Sensex companies, while HDFC Bank and HDFC Ltd rose 1.7 per cent. On the other hand, Sun Pharma, Yes Bank, TCS, NTPC, Tata Motors, Infosys and ONGC fell by 2 per cent.

The rupee closed the day at 70.08 per dollar, with marginal gain of 8 paisa.