Benchmark equity indices Sensex and Nifty ended higher on Monday, as softer-than-expected US jobs data reduced expectations of aggressive monetary tightening by the US Federal Reserve, supporting risk appetite across emerging markets.
The 30-share BSE Sensex jumped 472.77 points, or 0.66 per cent, to settle at 72,382.47. During the day, it surged 722.23 points, or 1 per cent, to 72,631.93.
The 50-share NSE Nifty climbed 133.80 points, or 0.60 per cent, to end at 22,555.75.
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From the 30 Sensex firms, ITC, Eternal, Bharti Airtel, Bajaj Finance, Adani Ports, ICICI Bank, Reliance Industries and Larsen & Toubro were among the major winners.
HCL Tech, HDFC Bank, Sun Pharma, Infosys and Asian Paints were among the laggards.
Anup Bagchi is set to be the next chief executive and managing director of HDFC Bank, with the Reserve Bank clearing his name to lead the largest private sector lender on Thursday.
Bagchi, who has been associated with rival ICICI Bank and its subsidiaries since 1992, will succeed Sashidhar Jagdishan, whose six-year stint in the corner office was marred by allegations of unethical conduct and questionable governance practices towards the end.
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He will take over as the MD and CEO from October 27, and the appointment is for three years, as per an exchange disclosure by the lender.
“Markets witnessed a strong recovery on Monday, taking a breather from the recent corrective trend and gaining over half a per cent. Global cues turned relatively supportive as crude oil prices eased from recent highs, with Brent hovering around USD 102 a barrel, providing some relief on the inflation front.
“Softer-than-expected US jobs data also reduced expectations of aggressive monetary tightening by the US Federal Reserve, supporting risk appetite across emerging markets,” Ajit Mishra, SVP – research, Religare Broking, said.
Brent crude, the global oil benchmark, was up 0.19 per cent to USD 102.4 per barrel.
“Markets staged a recovery, supported by softer-than-expected US jobs data and a moderation in crude oil prices, providing some relief to investors assessing the near-term interest rate outlook. Attention is now shifting to the RBI policy decision and the upcoming earnings season,” Vinod Nair, Head of Research, Geojit Investments Limited, said.
Also Read: Sensex, Nifty fall further day after massive dip, near six-month lows
In Asian markets, Japan’s Nikkei 225 index jumped over 2 per cent, while the Hang Seng index ended marginally higher. Equity markets were closed in South Korea and Shanghai for holidays.
Markets in Europe were trading on a mixed note.
US markets ended higher on Friday.
Foreign Institutional Investors (FIIs) offloaded equities worth ₹9,484.22 crore on Thursday, according to exchange data.
On Thursday, the Sensex dropped 570.59 points, or 0.79 per cent, to settle at 71,909.70. The Nifty tumbled 198.50 points, or 0.88 per cent, to end at 22,421.95.
Equity markets were closed on Friday for Gandhi Jayanti.