A sharp rebound in the equity market has made investors richer than Rs 5 lakh crore on Friday, with the BSE benchmark Sensex rallying 1,534 points after a rough day in previous trading.
The 30-share BSE Sensex rose 1,534.16 points, or 2.91 per cent, to settle at 54,326.39, making a strong comeback after a heavy sell-off in the previous session.
The rally in equities helped the market capitalization of BSE-listed companies to increase by Rs 5,05,143.44 crore to Rs 2,54,11,537.52 crore.
Amal Athawale, Deputy Vice President-Technical Research at Kotak Securities Ltd, said:
The BSE benchmark fell 1,416.30 points, or 2.61 percent, to close at 52,792.23 on Thursday.
All the Sensex companies ended in green, with Dr Reddy’s, Reliance Industries, Nestle, Tata Steel, Larsen & Toubro, Axis Bank, Sun Pharma, IndusInd Bank, State Bank of India and HDFC emerging as the biggest gainers.
“Markets have recovered sharply in the wake of the volatile trend and have grown by almost 3 percent. The benchmark witnessed a gap-up opening, hints from Asian counterparts and gradually getting higher as the session progressed, ”said Ajit Mishra, VP-Research, Religare Broking Ltd.
In broader markets, the BSE smallcap gauge jumped 2.13 percent and the midcap index rose 1.98 percent.
As many as 2,497 stocks advanced, while 777 declined and 144 remained unchanged.
“The market has shown a confident yet calm rally throughout the day, supported by strong global markets, especially the Asian market. China’s central bank has cut key interest rates to support growth, raising hopes in emerging markets, “said Vinod Nair, head of research at Geojit Financial Services.
All BSE sectoral indices ended higher, real rose 4.22 percent, followed by metals (3.75 percent), capital goods (3.14 percent), industry (3.05 percent), healthcare (3.04 percent) and energy (2.97 percent).