Sensex rises over 10% in just 4 days
The sensex has gained over 10 per cent in the past four trading sessions and more than 29 per cent since March 9. The index closed on Monday with a gain of 186 points at a five-month high of 10,534.business Updated: Apr 06, 2009 21:56 IST
The realty, metals, banking and oil & gas indices at the Bombay Stock Exchange rallied smartly and outperformed the benchmark Sensex which has gained over 10 per cent in the past four trading sessions and more than 29 per cent since March 9. The index closed on Monday with a gain of 186 points at a five-month high of 10,534.
While cautious optimism prevails in the market, speculators covered their short positions and also as a result of the positivity generated by the G 20 summit that has led to the infusion of a massive amount of funds to the International Monetary Fund (IMF).
“I see the current rally to continue for some time and Sensex may breach the 11,000 mark,” said Alex Mathew, head of research, Geojit Securities. “Realty stocks are gaining because there is an expectation of further rate cut in India. The European banks have cut their rates.”
The realty index grew by 22 per cent followed by metal index that rose 14 per cent over the past four trading sessions.
With optimism building around the global economic scenario with slurry of measures in the recent past and leading to a surge in the growth stocks, the passive stocks in the FMCG and Healthcare indices kept themselves aloof of the rally and moved up the least.
While the Sensex rose 10 per cent over the past four trading sessions, the FMCG index and the Pharma index gained the least by –0.4 per cent and 4.1 per cent respectively.