Sensex gains most in 2 weeeks, up 321 points
The benchmark Sensex on Wednesday rose 321 points, logging its best daily gain in a fortnight, led by shares of banks and infra firms after RBI eased financing norms, amid continuing signs of economic rebound.business Updated: Jul 16, 2014 17:01 IST
The benchmark Sensex on Wednesday rose 321 points, logging its best daily gain in a fortnight, led by shares of banks and infra firms after RBI eased financing norms, amid continuing signs of economic rebound.
After a higher start at 25,322.17, the Sensex touched day's high of 25,602.78 and closing at 25,549.72 -- up 321.07 points, or 1.27%. This is the best single-day rise since the 325-point spurt on July 2. Among lenders, IDFC jumped 8.70%, ICICI Bank 4.70%, Axis Bank 3.57%, SBI 2.26% and HDFC Bank 1.16%.
Stocks saw heavy buying after the RBI yesterday evening exempted long term bonds from mandatory regulatory norms like CRR and SLR if the money raised is used for funding of such projects.
The market sentiment remained firm after government data showed India's exports grew by 10.22% to USD 26.4 billion in June this year while imports stood at USD 38.24 billion, up by 8.33%.
The Sensex had gained 221.67 points on Tuesday after retail inflation eased to a 30-month low of 7.31% in June. WPI inflation has already softened and factory output is getting stronger, data has showed.
Brokers said easing crude oil prices, a mixed trend on the other Asian bourses and a higher opening in the European markets also influenced domestic market sentiments.
On similar lines, the 50-share National Stock Exchange index Nifty regained the 7,600-mark by rising 97.75 points, or 1.30%, at 7,624.40 after touching a high of 7,640.10.
The real estate sector witnessed solid demand and its sectoral index notched up the best gain (4,28 pc) among peers.
Shares of DLF Ltd rose by 5.82%, Unitech 6.82%, DB Realty 5.09%, HDIL 3.17%, Indiabulls Real Estate 3.65%, Anant Raj 4.12%, Oberoi Realty 5.37% and Sobha Developers 1.89%.
The BSE Banking index rose 2.50%, Metal index 2.20%, Capital Goods index 1.51% and Auto index 1.44%, among others.
Small-cap Index (2.04%) and Mid-cap index (1.34%) also gained as retail investors joined the rally.