Sensex snaps 6-day losing streak, ends 31 points higher
Mumbai : Market today ended a six-session losing spree as it recovered from over a four-week low and notched up gains by over 31 points in a choppy trade on the back of value-buying in blue-chips.
Higher Asian shares offered positive cues, but worries over weak quarterly results remained.
Mood brightened after core sector growth rose to a 4-month high of 3.2 per cent in September, brokers said.
Moody’s Investors Service yesterday said the economy would grow at 7.5 per cent in the current fiscal and improve marginally in the following year, which too spread cheer.
It upgraded its credit outlook on India’s banking system to ‘stable’ from ‘negative’, which came as a big positive.
The 30-share Sensex swung heavily, before settling at 26,590.59, up 31.44 points, or 0.12 per cent.
The gauge had lost 911.66 points in the previous six straight sessions on sustained foreign fund outflows amid muted Q2 earnings and a weak trend overseas.
The broad-based NSE Nifty also ended marginally higher by 9.90 points, or 0.12 per cent, at 8,060.70 after breaching the crucial 8,100-level.
“Indices snapped its past losing streak on the back of strong global indices and improved core sector growth. However, these couldn’t sustain the gains as investors await the results of Bihar elections and continued selling by foreign investors weighed,” said Gaurav Jain, Director, Hem Securities.
Brokers said investors resumed buying in battered blue-chips that turned attractive after a set of positive economic data, including those on core sector growth.
NTPC surged the most rising 2.15 per cent, followed by M&M, ONGC and Hindalco.
Sectorally, IT surged the most by rising 0.91 per cent, followed by oil and gas, PSU, power and healthcare.
In broader markets, small-cap and mid-cap indices ended with gains up to 0.39 per cent as investors widened bets.
Meanwhile, foreign portfolio investors (FPIs) net sold shares worth Rs 272.67 crore yesterday, provisional numbers showed.
Indices in other Asian markets, including those in Hong Kong and Singapore were higher, while Shanghai Composite declined 0.25 per cent. Europe was trading mixed in early session.