Sensex rallies over 500 pts to 38,685.59; Nifty tests 11,300

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Mumbai: Market benchmark Sensex surged over 500 points in opening session on Tuesday tracking firm gains in global stocks amid hopes that policymakers across the world would take measures to ease the economic fallout from the coronavirus outbreak.

Finance ministers and central bank chiefs from G7 countries will hold talks later in the day to discuss ways to coordinate their responses to cushion the epidemic's impact on the global economy.

The 30-share index was trading 533.37 points, or 1.40 per cent, higher at 38,677.39, and the NSE Nifty jumped 179.75 points, or 1.61 per cent, to 11,312.50.

All Sensex components were trading on a positive note. Top gainers included Sun Pharma, Tata Steel, Reliance Industries, Hero MotoCorp, ICICI Bank and HCL Tech.

In the previous session, the 30-share BSE barometer closed 153.27 points or 0.40 per cent lower at 38,144.02, and the broader Nifty closed lower by 69 points or 0.62 per cent at 11,132.75.

Further, on a net basis, foreign institutional investors (FPIs) sold equities worth Rs 1,354.72 crore, while domestic institutional investors bought shares worth Rs 1,138.74 crore on Monday, data available with stock exchanges showed.

According to traders, domestic benchmarks followed global equities that rallied on hopes of stimulus from global policymakers to lessen the impact of coronavirus on their economies, ahead of the talks between G7 finance ministers and central bank heads.

Persistent foreign fund outflow too weighed on domestic investor sentiment, they added.

Stock exchanges in Shanghai, Hong Kong, Seoul and Tokyo were trading with firm gains in their morning sessio

Bourses in the US too ended on a strong note on Monday.

The rupee appreciated 16 paise to 72.59 against the US dollar in morning session.

Global oil benchmark Brent crude futures rose 2.43 per cent to USD 53.16 per barrel.