India’s stock markets started on a positive note on Tuesday with Sensex climbing over 100 points tracking the footsteps of Wall Street as Dow Industrials marked the third-biggest point-gain ever on Monday soaring as much as 669 points.
In the meantime, regional Asian stock markets also recovered on the same lines on Tuesday with Japanese Nikkei and Chinese Shanghai Composite index advancing over 1% each.
The reports of behind-the-scenes talks between the United States and China rekindled hopes a damaging trade war could be averted, in turn sapping the strength of the dollar and yen, said in a report.
The S&P BSE Sensex 233.41 points to a day’s top of 33,299.82 whereas NSE Nifty mounted 10,192.65, up by 62 points. Shares of Power Finance Corporation rose 2.24% to Rs 88.9 after the state-run company said that it will raise Rs 57,000 crore through various long-term and short-term debt instruments during in 2018-19.
Shares of Dilip Buidcon jumped over 4% to Rs 1,027.6 after the company bagged projects worth a total Rs 4,114 crore from state-run NHAI in Karnataka and Maharashtra. Shares of Adani Enterprises added 2.5% to Rs 167.9 after the company signed a coal mining agreement with NLC India.
Shares of IT companies rebounded on Tuesday with the stock of Wipro leading the benchmark Sensex rising 1.9%. The stock of Wipro dropped 3.96% to end at Rs 273.9 on BSE. Shares of state-run mining company NMDC zoomed more than 4% after the stock went ex-dividend on Tuesday.
NMDC has declared an interim dividend of Rs 4.3 per equity share.Other than Wipro, shares of Tata Steel, Axis Bank, Yes Bank, State Bank of India, L&T, ICICI Bank, Kotak Mahindra Bank emerged as the lead gainers on BSE Sensex rising up to 2.5%. The volatility in Indian markets dropped as India Vix, the volatility indicator shed 4.6% to a day’s low of 14.4950 on Tuesday.
Wall Street scored its best day in 2-1/2 years and the Dow Jones Industrial Average saw its third-biggest point gain ever on Monday, as trade war fears eased on reports the United States and China are willing to renegotiate tariffs and trade imbalances, Reuters said in a report.
The Dow Jones Industrial Average rose 669.4 points, or 2.84 percent, to 24,202.6. The two larger point gains for the Dow were in October 2008. The S&P 500 gained 70.29 points, or 2.72 percent, to 2,658.55 and the Nasdaq Composite added 227.88 points, or 3.26 percent, to 7,220.54. 7,220.54
Earlier yesterday, Indian stock markets settled higher with Sensex posting a complete recovery from Friday’s wipeout as concerns over US-China trade war eased after the United States approached China to settle down trade imbalances which steered a value buying in equities from Europe to Asia.
The S&P BSE Sensex retook the 33,000-mark within a day after the benchmark index slipped to a level of 32,596.54, meanwhile, Nifty 50 also regained the psychological mark of 10,000 after diving to a low of 9,998.05 on Friday.>