Indian equities extended their recovery for the second consecutive session, supported by improving global cues and emerging hopes of a potential de-escalation in the ongoing US-Iran conflict,” Siddhartha Khemka – Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd, said.
Mumbai:With a rebound in the stock market, investors’ wealth has surged by Rs 15.80 lakh crore in two days following a sharp decline in crude oil prices and hopes of de-escalation in the West Asia war.
Stock markets have been rallying for the past two trading days, with the BSE Sensex climbing 2,577.06 points or 3.54 per cent. On Wednesday, the 30-share BSE benchmark jumped 1,205 points or 1.63 per cent to settle at 75,273.45.
Thanks to optimism in investors’ sentiment, the market capitalisation of BSE-listed companies climbed Rs 15,80,204.92 crore to Rs 4,31,01,834.74 crore (USD 4.59 trillion) in two days.
Indian equities extended their recovery for the second consecutive session, supported by improving global cues and emerging hopes of a potential de-escalation in the ongoing US-Iran conflict,” Siddhartha Khemka – Head of Research, Wealth Management, Motilal Oswal Financial Services Ltd, said.
Brent crude, the global oil benchmark, tanked 6.16 per cent to USD 97.79 per barrel.
“Markets continued to build on the previous day’s momentum as global risk sentiment improved, with hopes of peace emerging on the radar. Potential diplomatic progress between the US and Iran-despite mixed geopolitical commentary – led to easing crude oil prices below USD100, which was welcomed by the market,” Vinod Nair, Head of Research, Geojit Investments Limited, said.
In Asian markets, South Korea’s benchmark Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng index ended higher. Markets in Europe were trading in the positive territory.
From the 30-Sensex firms, UltraTech Cement, Bajaj Finance, Larsen & Toubro, Titan, InterGlobe Aviation and Trent were the biggest gainers on Wednesday.
Tech Mahindra, Power Grid, Tata Consultancy Services and Bharat Electronics were the laggards.
The BSE SmallCap Select index jumped 3.05 per cent and MidCap Select index climbed 2.50 per cent.
All sectoral indices ended higher. BSE MidSmall Private Banks Quality Tilt surged 3.70 per cent, followed by commodities (2.75 per cent), PSU Bank (2.61 per cent), realty (2.53 per cent), metal (2.51 per cent), industrials (2.49 per cent) and services (2.42 per cent).
“Markets extended their recovery for the second consecutive session on Wednesday, supported by easing geopolitical tensions and a decline in crude oil prices,” Ajit Mishra, SVP, Research, Religare Broking Ltd, said.
A total of 2,959 stocks advanced, while 1,357 declined and 156 remained unchanged on the BSE.