Mumbai: Benchmark stock indices Sensex and Nifty rebounded nearly 1 per cent Monday, snapping the three-day falling streak following a rally in Reliance Industries and Sun Pharma and positive global trends.
The 30-share BSE Sensex jumped 639.42 points or 0.83 per cent to settle at 77,303.63. During the day, it surged 755.83 points or 0.98 per cent to 77,420.04.
The 50-share NSE Nifty climbed 194.75 points or 0.81 per cent to close at 24,092.70.
Among the 30-Sensex firms, Sun Pharma jumped 7 per cent after it announced the acquisition of US-based Organon & Co in an all-cash deal at an enterprise valuation of USD 11.75 billion, one of the largest overseas buyouts by Indian firms.
Reliance Industries jumped 2.88 per cent. Adani Ports, Tech Mahindra, Mahindra & Mahindra, NTPC, HCL Tech and Tata Consultancy Services were also among the major gainers.
Axis Bank, Bharat Electronics, Trent and ICICI Bank were among the laggards from the blue-chip pack.
In Asian markets, South Korea’s benchmark Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index ended higher, while Hong Kong’s Hang Seng index ended lower.
Also Read : West Asia situation, earnings, crude oil prices key drivers for market movement this week: Analysts
Markets in Europe were trading in positive territory. US markets ended mostly higher Friday.
“A key catalyst behind today’s strength was improving global sentiment, particularly reports of a potential de-escalation between the US and Iran around the Strait of Hormuz. This development eased supply disruptions and supported global risk appetite, helping domestic markets stabilise and rise,” Hariprasad K, Research Analyst and Founder, Livelong Wealth, said.
Sectoral participation played an important role in sustaining the rally, he noted.
“The pharmaceutical space saw strong traction, led by a sharp surge in Sun Pharmaceutical Industries following its announcement of a large acquisition deal involving Organon. The IT sector also witnessed a notable rebound after recent underperformance,” Hariprasad added.
Brent crude, the global oil benchmark, traded 2.53 per cent higher at USD 107.9 per barrel.
“Indian equities began the week on a positive note, supported by improved sentiment amid renewed expectations of near-term de-escalation in the Middle East. Gains were widespread, with all major sectoral indices ending in positive territory. Overall, markets demonstrated resilience but remain highly sensitive to geopolitical developments,” Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 8,827.87 crore Friday, according to exchange data.
On Friday, the Sensex dropped 999.79 points or 1.29 per cent to settle at 76,664.21. The Nifty slumped 275.10 points or 1.14 per cent to end at 23,897.95.
