Financials News

Sensex recovers 141 points, snaps 3-day downtrend

Sensex recovers 141 points, snaps 3-day downtrend

Mumbai: Snapping its three-day losing streak, the BSE Sensex on Wednesday recovered by over 141 points on value-buying by domestic investors in IT, banking, FMCG and oil and gas stocks amid firming trend on Asian bourses.

Also, a slide in crude oil prices boosted sentiments. However, investors appeared cautious ahead of the expiry of derivative contracts for February tomorrow and also in view of developments around the massive PNB fraud, weakening trading momentum, brokers said.

Sustained buying by domestic institutional investors (DIIs) and a firm trend in Asia and a lower opening in Europe with investors awaiting the release of minutes from the US Federal Reserve’s policy meeting later today also influenced sentiments, they said.

The 30-share Sensex, after touching the day’s high of 33,911.36, succumbed to profit-booking and hit a low of 33,702.50 before settling 141.27 points, or 0.42 per cent, higher at 33,844.86.

The 30-scrip gauge had lost 593.88 points in the previous three sessions, largely dragged down by sustained foreign fund outflows and falling rupee concerns.

The 50-share NSE Nifty ended up 37.05 points, or 0.36 per cent, at 10,397.45 points. Intra-day, it shuttled between 10,426.10 and 10,349.60.

Stocks of IT companies rose on Wednesday due to the positive outlook given by industry lobby Nasscom.

The industry body said that export revenue in 2018-19 (Apr-Mar) will grow at 7-9 per cent, driven by digital technologies. Shares of IT, teck, FMCG, oil and gas and banking ended in the positive zone, rising up to 2.20 per cent.

On a net basis, DIIs bought shares worth Rs 1,437.24 crore, while foreign portfolio investors (FPIs) sold shares worth Rs 850.35 crore on Tuesday, as per provisional data released by stock exchanges.