Benchmark stock indices Sensex and Nifty rallied nearly 1 per cent to close at over two-week high levels on Monday, posting gains for a third straight day as global equities advanced on easing inflation concerns.
The 30-share BSE Sensex jumped 433.30 points or 0.82 per cent to settle at 53,161.28, a level not seen since June 10. During the day, the barometer rallied 781.52 points or 1.48 per cent to 53,509.50.
The NSE Nifty also gained 132.80 points or 0.85 per cent to close above the 15,800 level at 15,832.05, the highest closing level since June 10.
In the three-day winning run, Sensex jumped by 2.56 per cent or 1,378 points while Nifty rallied 2.73 per cent or 418 points to a more than two-week high.
“Declining commodity prices have been lifting the exhausted domestic equity market during the recent sessions,” Vinod Nair, Head of Research at Geojit Financial Services said.
Analysts said that investors expect oil prices to decline further following easing demand from Europe, China and the US due to the slowdown in the economy.
Larsen & Toubro was the biggest gainer among Sensex shares, rising by 2.69 per cent. Tech Mahindra spurred 2.67 per cent, HCL Tech by 2.61 per cent, IndusInd Bank by 2.27 per cent and Infosys by 2.25 per cent.
Asian Paints jumped 2.19 per cent, Bharti Airtel by 2 per cent , Tata Steel by 1.75 per cent, UltraTech Cement by 1.74 per cent, SBI by 1.51 per cent, ITC by 1.5 per cent and Sun Pharma by 1.44 per cent.
On the other hand, Reliance Industries, Kotak Bank and Titan declined.
“Markets started the week on a strong note and gained nearly a per cent. Upbeat global cues triggered a firm start in benchmark indices, followed by range-bound move till the end,” Ajit Mishra, VP – Research, Religare Broking Ltd, said.
In the broader market, the BSE smallcap gauge jumped 1.57 per cent and midcap index gained 0.87 per cent.
All the BSE sectoral indices ended on the green, with capital goods jumping 2.26 per cent, IT (2.02 per cent), teck (1.84 per cent), metal (1.81 per cent), basic materials (1.65 per cent), industrials (1.55 per cent), utilities (1.46 per cent) and power (1.44 per cent).
“Domestic equities traded in positive territory throughout the day in-line with its global peers,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.
Analysts said global cues would continue to dictate the market trend. Besides, domestic factors like the upcoming GST council meet will also be in focus.
Elsewhere in Asia, markets in Seoul, Tokyo, Shanghai and Hong Kong ended in the green following sharp gains in the US markets on Friday.
European markets were also trading in the green in mid-session deals.
Meanwhile, international oil benchmark Brent crude dipped 0.13 per cent to USD 112.93 per barrel.
Foreign institutional investors (FIIs) remained net sellers in the capital market, as they sold shares worth Rs 2,353.77 crore on Friday, as per exchange data.