Bulls Go On A Rampage: Sensex Soars Over 1,100 Points

Indian Stock Markets on Thursday opened posting gains with Sensex gaining nearly 400 points while Nifty was above 22,700 mark. IDBI Bank share will remain in focus after the Cabinet has cleared the stake sale to Canada’s Fairfax.
Markets kept the positive momentum as at 10:48 am, the Sensex was up 1,116.29 points or 1.53% at 73,898.18, and the Nifty was up 322.15 points or 1.42% at 22,944.85.
IT stocks led the gains with the index spiked 2.4%, taking the index’s three-session rise to about 8.3%. Infosys, TCS and HCLTech added 3% each. Tech Mahindra and Wipro added 3.5% and 1.7%, respectively, ahead of their quarterly results.
In the global markets, heavy selling was seen in technology stocks across Wall Street and Asia. The markets were triggered by hotter-than-expected US inflation that strengthened expectations of further Federal Reserve interest-rate hikes.
GIFT Nifty was trading around 22,690, up 68 points, or 0.3 percent, from its previous close. The index has rebounded about 165 points from Wednesday evening’s low of 22,525.
Japan’s Nikkei 225 futures declined 4.8 percent, while Hong Kong’s Hang Seng slipped 0.9 percent and the Shanghai Composite lost 1.2 percent.
The rupee opened at 94.92 against the dollar after ending the previous session at 95.16. It had touched a month’s high of 94.75 on per dollar amid a series of Reserve Bank of India (RBI) measures to curb forex speculation.
Hemang Gor, Senior Research Analyst – Derivatives and Technical Research, Axis Direct said, “The Nifty 50 declined 99 points, or 0.44%, to 22,623 on Wednesday after an early intraday rally dissolved into a late-afternoon retreat; IT and FMCG gains only partly offset weakness in pharma and autos. Overnight, a hotter-than-expected US core inflation print revived Fed rate-hike fears and deepened the chipmaker rout, where the Dow slipped 0.1%, the S&P 500 shed 1.1%, and the Nasdaq tumbled 1.9%.”
“Asian equities are facing a brutal morning start. The Nikkei has fallen 4.5% to 64,700 and Kospi plummeted 7% to 5,576, triggering a sidecar curb in Seoul; the Hang Seng and Shanghai are off 0.1% and 0.9%. Brent holds near $105. GIFT Nifty at 22,648 is explicitly telegraphing a lower, pressure-filled opening for our market.”