Benchmarks rise for 3rd day; Sensex settles above 60k, IT shares climb

12 Sep 2022 , 04:58 PM

The market settled with strong gains on Monday, tracking firm global market cues. The recent fall in crude oil prices and sliding US Dollar index also supported buying. All the sectoral indices on the NSE ended in the green. IT, realty and PSU banks were in demand. The barometer index, the S&P BSE Sensex, was rose 321.99 points or 0.54% to 60,115.13. The Nifty 50 index gained 103 points or 0.58% to 17,936.35. In three consecutive sessions, the Sensex has added 1.84% while the Nifty has gained 1.77%. Adani Ports & SEZ (up 3.77%), Titan Company (up 2.48%), Divis Laboratories (up 2.11%) and Axis Bank (up 1.96%) were major Nifty gainers. The broader market outperformed the benchmark indices. The S&P BSE Mid-Cap index rose 0.89% while the S&P BSE Small-Cap index gained 1%. The market breadth was strong. On the BSE, 2,189 shares rose and 1,394 shares fell. A total of 176 shares were unchanged. Economy: Credit growth of commercial banks is at a near nine-year high of 15.5% year-on-year for the week ended 26 August 2022, latest data released by the Reserve Bank of India showed. The credit growth is the highest since 1 November 2013, when it was 16.1%. In the current financial year so far, banks have extended Rs 5.66 lakh crore by way of loans, representing a growth of 4.8% as compared to -0.5% during the same period last year. Deposit growth was 9.5% YoY, according to the data. Numbers to Track: The yield on Indias 10-year benchmark federal paper rose to 7.185 compared with 7.167 at close in the previous trading session. In the foreign exchange market, the rupee was higher against the dollar. The partially convertible rupee was hovering at 79.55, compared with its close of 79.57 during the previous trading session. MCX Gold futures for 5 October 2022 settlement advanced 0.14% to Rs 50,602. The 10-year U.S. Treasury yield was hovering at 3.298%. The US Dollar index (DXY), which tracks the greenbacks value against a basket of currencies, dropped 0.77% to 108.23. In the commodities market, Brent crude for November 2022 settlement rose $1.06 or 1.14% at $93.90 a barrel. Global Markets: The Dow Jones futures were up 77 points, indicating a positive opening in the US stock market today. Shares in Europe and Asia advanced across the board on Monday, following the improved risk sentiment. Mainland China, Hong Kong and South Korea markets were closed for a holiday today. Global markets are gearing up for the latest reading of U.S. inflation, with the August data set to be released Tuesday. The report is one of the last pieces of data on inflation the U.S. Federal Reserve will see ahead of its September meeting, where the central bank is expected to deliver its third consecutive 0.75 percentage point rate hike in an effort to combat high inflation. Fed Chair Jerome Powell reiterated last week that he is strongly committed to bringing down inflation. US stocks rallied on Friday as investors went on a buying spree, shrugging off concerns about the economic outlook. Buzzing Segment: The Nifty IT index jumped 1.42% to 29,131.20. The index has jumped 5% in four sessions. Larsen & Toubro Infotech (up 2.85%), Mindtree (up 2.37%), Tech Mahindra (up 2.16%), L&T Technology Services (up 1.73%), Infosys (up 1.50%), Mphasis (up 0.61%), HCL Technologies (up 0.59%), Coforge (up 1.29%) and Wipro (up 1.10%) and TCS (up 0.63%) surged. Stocks in Spotlight: D B Realty hit an upper circuit limit of 5% at Rs 90.15 after the media reported that Adani Realty is in advanced talks for a merger with the Mumbai-based realty company. Adani Realty is the real estate arm of the Adani Group. Reliance Infrastructure (R-Infra) jumped 7.17% after the company said it has filed an international arbitration claim of Rs 13,400 crore against Adani Transmission before the Mumbai Centre for International Arbitration. R-Infra said the arbitration claim, filed before the Mumbai Centre for International Arbitration (MCIA), is over what is described as the breach of terms of its December 2017 share purchase agreement with Adani Transmission related to the transfer of its Mumbai power distribution business. Premier Explosives rose 4.88% after the company won a contract with an overseas entity for supply of rocket motors. The order is worth $2.44 million (approx. Rs 19.40 crore). Tata Steel rose 1.84%. The board of the steel major is scheduled to meet on 14 September 2022 to consider the issuance of unsecured non-convertible debentures on private placement basis. Powered by Capital Market – Live News