Market posted strong gains, most of Adani Group stocks recover
At close, the Sensex was up 1,961.32 points or 2.54% at 79,117.11, and the Nifty was up 557.35 points or 2.39% at 23,907.25.
The domestic markets rallied around 1 per cent higher on Thursday after the Reserve Bank of India decided to keep the repo rate, reverse repo rate unchanged but maintained an accommodative stance to boost growth.
Further, the central bank also announced measures to provide financial assistance to NBFCs, NHB, and corporate debt market. The RBI also raised the permissible loan-to-value (LTV) ratio for gold loans to 90 per cent from 75 per cent.
The S&P BSE Sensex ended 362.12 points or 0.96 per cent higher at 38,025.45, while broader NSE Nifty jumped 98.50 points or 0.89 per cent to 11,200.15.
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Among the individual stocks, Tata Steel was the top gainer on the BSE, rising around 4 per cent. It was followed by Infosys, Bajaj Finance, TCS, HCL Tech, ICICI Bank and Tech Mahindra.
On the other hand, laggards were led by Bharti Airtel, M&M, followed by L&T and Axis Bank.
In the broader market, the S&P BSE MidCap index and SmallCap index ended 0.77 and 1 per cent higher.
Earlier in the day, RBI’s Monetary Policy Committee (MPC), headed by RBI Governor Shaktikanta Das, left the benchmark repurchase (repo) rate unchanged at 4 per cent.
Consequently, the reverse repo rate will continue to earn 3.35 per cent for banks for their deposits parked with the RBI.
The central bank also maintained ‘accommodative’ stance, which could continue until the economy is fully revived, thus opening up possibilities for more future rate cuts.
According to experts, market participants cheered the RBI”s balanced approach, which is seen in line with expectations that the central bank will be looking at alternate measures such as forward guidance and maintain sufficient liquidity.
On the currency front, the rupee settled flat at 74.94 against US dollar.
In the global market, bourses in Shanghai and Seoul ended with gains, while Hong Kong and Tokyo closed in the red.
Stock exchanges in Europe were also trading on a negative note in early deals.
Brent crude futures, the global oil benchmark, slipped 0.04 per cent to USD 45.19 per barrel.
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