Sensex zooms 401 points to log first weekly gain of 2016

NSE Nifty reclaimed the 7,500-mark to hit a high of 7,575.65 intra-day, before closing at 7,563.55, up 138.90 points, or 1.87 percent.

PTI| Last Updated: Jan 29, 2016, 17:40 PM IST
Sensex zooms 401 points to log first weekly gain of 2016

Mumbai: The benchmark BSE Sensex surged over 401 points Friday to log its first weekly gain this year and closed at 24,870.69 as investors built fresh long positions in the new derivatives series amid a firming global trend after Bank of Japan adopted a negative interest rate policy.

On a weekly basis, the Sensex recovered 435.03 points, or 1.78 percent, and the NSE Nifty rose 141.10 points, or 1.90 percent, snapping three straight weekly losses.

Covering up of positions by speculators, fearing a further run-up in coming sessions, also helped the key indices rise.

A firming trend at other Asian markets, led by Japan, after the Bank of Japan surprised markets by announcing a negative interest rate policy, buoyed sentiment here too, brokers said.

Japan's Nikkei climbed 2.80 percent, Shanghai Composite rose 3.09 percent and Hong Kong's Hang Seng was up 2.54 percent. European markets opened higher post the BOJ move.

Appreciating rupee against the dollar also boosted sentiment, they said.

The 30-stock index, after opening in negative zone at 24,347.31, quickly staged a comeback and rallied to hit the session's high of 24,911.90 on across-the-board buying, tracking positive Asian cues and building-up of bets following the beginning of the February derivatives series.

Finally, the gauge settled 401.12 points, or 1.64 percent higher, at 24,870.69.

The gauge had shed 22.82 points in the choppy session yesterday.

NSE Nifty reclaimed the 7,500-mark to hit a high of 7,575.65 intra-day, before closing at 7,563.55, up 138.90 points, or 1.87 percent.

Top gainers among Sensex constituents included Coal India, up 4.73 percent, followed by Hero MotoCorp, SunPharma, Hindustan Unilever, Dr Reddy's and Bajaj Auto.

Of the 30-share Sensex group, 25 ended higher, while 5led by SBI, Tata Steel, NTPC, ICICI Bank and Bharti Airtel,closed in the negative territory.

Among BSE sectoral indices, Consumer durable gained themost by rising 3.26 percent, followed by healthcare (2.51 percent), IT (2.43 percent), TECK (2.04 percent), capital goods(1.93 percent), Auto(1.91 percent) and metal (1.78 percent).

Buying activity also picked up in the broader markets,with the BSE mid-cap rising 2.02 percent and small-capgaining 1.07 percent.

Meanwhile, foreign portfolio investors sold shares worthRs 961.82 crore yesterday, as per provisional data.