Sensex surges 750 points - Here is what led to this rally | Check top gainers
The 30-share BSE index briefly traded above the 50,000-mark in day trade before closing at 49,849.84, showing a rise of 749.85 points or 1.53 per cent.
Benchmark BSE Sensex surged nearly 750 points on Monday as investors cheered the domestic economy returning to positive territory after two quarters of contraction. The 30-share BSE index briefly traded above the 50,000-mark in day trade before closing at 49,849.84, showing a rise of 749.85 points or 1.53 per cent. Of the Sensex constituents, 29 closed with gains.
Likewise, the NSE barometer Nifty settled with a gain of 232.40 points or 1.60 per cent at 14,761.55.
Top performers were PowerGrid, ONGC, Ultratech Cement, Asian Paint, Kotak Bank and Titan rising as much as 5.94 per cent.
After two consecutive quarters of contraction, the Indian economy has finally entered an expansionary path.
The Gross Domestic Product (GDP) grew 0.4 per cent in the October-December 2020 period compared with the same period a year back, data released by the National Statistics Office on Friday showed.
High-frequency indicators were pointing towards the fact that the domestic economy is slowly entering the recovery path.
The auto sector was in focus as sales numbers for February were in favour of manufacturers.
All of the 19 sectoral indices except telecom ended in the green.
Auto, private banks and metals indices witnessed sharp rally ranging from 1.5 per cent to 2.5 per cent.
Telecom stocks dropped as spectrum auction began with 2,251.25 megahertz (MHz) radiowaves valued at Rs 3.92 lakh crore up for bidding. Bharti Airtel dropped by 4.45 per cent.
Smallcap and largecap indices outperformed the benchmark - rising 1.61 per cent and 1.56 per cent, respectively.
While midcap index underperformed the Sensex, gaining 1.46 per cent.
Elsewhere in Asia, bourses closed significantly higher amid some stability in bond markets after last week's turmoil. Further, progress in the US stimulus package also lent some support to investor sentiments globally.
Global markets were on an upward rally owing to the much-anticipated US stimulus package being approved and reports regarding the progress in the vaccines.
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