Representational Pic
Stock markets rebounded on Monday, breaking a five-day losing streak, with the BSE Sensex gaining 602 points amid active buying in ICICI Bank and positive trends in global markets. This recovery was spurred by investor optimism following a drop in global crude oil prices, and continuous support from domestic institutional investors (DIIs).
The BSE Sensex rose by 602.75 points, or 0.76%, closing at 80,005.04, having surged by as much as 1,137.52 points, or 1.43%, during the day to reach an intraday high of 80,539.81. The NSE Nifty also advanced, adding 158.35 points, or 0.65%, to close at 24,339.15.
Among the Sensex's key contributors was ICICI Bank, which climbed 3% after reporting a 14.5% rise in standalone profit to Rs 11,746 crore for Q2 ending in September 2024. Several other stocks from the Sensex pack also gained ground, including JSW Steel, Mahindra & Mahindra, Adani Ports, Tata Steel, Sun Pharma, Hindustan Unilever, Tata Motors, and State Bank of India.
However, not all stocks rode the wave; Axis Bank, Kotak Mahindra Bank, Tech Mahindra, HDFC Bank, and Maruti witnessed declines by the close of trading.
According to PTI, the recovery was also influenced by a favourable environment in international markets. Asian markets in Seoul, Tokyo, Shanghai, and Hong Kong closed on a high note, and European stocks were trading positively. US markets closed mixed on Friday but did not seem to impact investor sentiment negatively.
The day's movements were also marked by contrasting activity between foreign and domestic investors. Foreign Institutional Investors (FIIs) offloaded equities worth Rs 3,036.75 crore on Friday, while Domestic Institutional Investors (DIIs) showed optimism, purchasing shares worth Rs 4,159.29 crore, as per exchange data.
Brent crude, the global oil benchmark, fell by 5.84% to USD 71.54 a barrel, a significant drop that helped bolster positive market sentiment.
To put this rebound in perspective, last Friday saw the BSE benchmark drop by 662.87 points, or 0.83%, to settle at 79,402.29, with the Nifty also down by 218.60 points, or 0.90%, closing at 24,180.80. The positive turn of events on Monday provided much-needed relief for investors, many of whom had been cautious over the past week.
(With inputs from PTI)
