NEW DELHI: Domestic equity benchmarks Sensex and Nifty logged healthy gains on Thursday, mirroring the trend in most emerging markets, as signals of near-future rate cuts by the US Fed fuelled risk appetite among investors.
Auto, bank, NBFC and metal stocks led the gains while the rupee’s rise against the dollar underpinned Nifty’s ascent.
“A dovish Fed and some short-covering in the recently beaten-down stocks pulled the market higher,” said Rusmik Oza, Head of Fundamental Research, Kotak Securities.
The 30-share Sensex ended 266 points, or 0.69 per cent, higher at 38,823, with 23 stocks ending in the green. Nifty closed 84 points, or 0.73 per cent, higher at 11,582. Among the 50 Nifty stocks, 40 settled with gains.
Market breadth improved as 1,243 stocks advanced against 1,195 that declined. As many as 158 stocks remained unchanged.
Corporation (DHFL) broke a 5-day losing spree to close 1.71 per cent higher at Rs 71.25. The mortgage lender will present a debt resolution plan to its lenders within seven days. Banks and bondholders of the company met on Thursday to decide a resolution roadmap for outstanding loans.
Religare Enterprises jumps 10%
Hitting their upper price band, shares of Religare Enterprises closed 10 per cent up at Rs 42.95. The company said it will sell its entire stake in NBFC arm Religare Finvest (RFL) along with RFL’s housing finance subsidiary RHDFC to TCG group for an undisclosed amount.
Reliance Infra surges 11%
Shares of Reliance InfrastructureNSE -0.39 % surged 11 per cent to Rs 51.05 after its lenders signed an inter-creditor agreement (ICA) for the resolution of debt. Reliance Infrastructure, which has a debt of over Rs 6,000 crore, aims to be debt-free in 2020.
Bharat Forge climbs 4%
Shares of the auto-ancillary maker closed 4.47 per cent higher at Rs 463 after its subsidiary Kalyani Rafael Advanced Systems (KRAS) bagged a $100 million (Rs 684 crore) contract from Israel’s Rafael Advanced Defence Systems for manufacturing 1,000 BARAK-8 MRSAM missiles’ kits for the Indian Army and Air Force.
Tata Motors logs gains
Tata Motors reported a 5 per cent drop in global sales, including that of Jaguar Land Rover to 95,503 units in June. It had sold 1,00,135 units in June last year. However, shares of the company ended 3.63 per cent higher at Rs 156.90.
GTPL HathwayNSE 6.77 % zooms 20%
Hitting their upper circuit, shares of GTPL Hathway closed 20 per cent higher at Rs 64.80. On Wednesday, the company reported a 121 per cent on year-on-year ( YoY) jump in its consolidated net profit during the June quarter of the current financial year.
IndiGoNSE 0.17 % extends losses
Falling for the third consecutive session, shares of Interglobe Aviation (IndiGo) closed 3.07 per cent down at Rs 1,354. The stock has been falling as inter-promoter feud intensified and the speculation got stronger that the issue may land up in NCLT. Meanwhile, an ETNow report said Sebi was probing whether the company’s CEO downplayed the row between the co-founders. In the last three sessions, the stock has come off 14 per cent.
76 stocks signal fall
Momentum indicator moving average convergence divergence, or MACD, showed bearish crossovers on 76 counters on BSE, signalling a potential fall for them in the coming sessions. Among them were UPL, ITI, Dilip Buildcon, Borosil Glass, DCM Shriram and TeamLease Services. On the other hand, Tata Motors, Zee Entertainment, BEML, Petronet LNG, GTPL Hathway and TVS Motor were among 52 stocks that showed bullish crossovers.
65 stocks enter oversold zone
Momentum oscillator Relative Strength Index, or RSI, showed 65 stocks in the oversold zone on BSE. Among them were Graphite India, Orient Tradelink, Mindtree, MT Educare and OM Metals Infraprojects. On the other hand, Religare Enterprises, Refex Industries, Gaurav Mercantiles, Mandhana IndustriesNSE 0.00 % and East India Securities were among 23 stocks that entered the overbought zone.