Investors gained nearly Rs 4 lakh lakh crore today as Sensex and Nifty closed over 4% higher amid hopes of a second stimulus package from the government to mitigate the blow of the Covid-19 lockdown. Market capitalisation on BSE rose to Rs 120.81 lakh crore today compared to the previous session's market cap of Rs 116.82 lakh crore. That led the market cap to rise by Rs 3.99 lakh crore.
While Sensex closed 1,265 points higher at 31,159, Nifty soared 363.15 points, or 4.15 per cent to 9,111.90.
Mahindra and Mahindra was the top gainer in the Sensex pack, surging over 16 per cent, followed by Maruti, Titan, Bajaj Finance, HDFC, Bajaj Auto and Hero MotoCorp.
On the other hand, HUL, Tech Mahindra, IndusInd Bank and Nestle were the laggards.
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However, Sensex is still down 24.47% or 10,094 points since the beginning of this year. Similarly, Nifty has lost 25.12% or 3,056 points during the same period as coronavirus crisis roiled global markets since February this year.
"Indian markets started trading on a positive note taking upbeat cues from its Asian peers in the morning session as policymakers discussed the process of reopening the global economy as data showed a slowing spread of Covid-19," said Narendra Solanki, Head- Equity Research (Fundamental), Anand Rathi.
Number of stocks hitting upper circuit on BSE stood at 480 against 183 falling to their lower circuits today. Market breadth was positive with 1,872 stocks ending higher against 538 closing lower on BSE. 166 stocks were unchanged.
Share Market Update: Sensex ends 1,265 points higher, Nifty at 9,111; auto stocks top gainers
NSE VIX, the volatility gauge of Indian market, fell 4.79% to 49.74. It closed at 52.24 yesterday.
Shrikant Chouhan, Executive Vice President, Equity Technical Research at Kotak Securities said, "Markets opened higher and raced ahead on hopes of stimulus measures before the end of the first round of lockdown. Auto and financial sectors did extremely well in today's trading session. Technically, Nifty closed above the level of 9050, which is a positive for the market. It has formed the series of 'higher top and higher bottom' that would lift the index to 9400 level. In the best-case scenario, Nifty could even hit the level of 9600. Support for the index exists at 8800 and 8650 levels."
Global markets rallied today on hopes that the pandemic was reaching a peak in some economies. Germany's DAX advanced 0.4% to 10,372 while the CAC 40 in France shed 0.4% to 4,424. Britain's FTSE 100 picked up 0.7% to 5,719. US shares looked set for gains, with the future for the S&P 500 up 0.4% and that for the Dow industrials gaining 0.2%. Elsewhere in Asia, markets were mostly higher.
Hong Kong's Hang Seng added 1.4% to 24,300.33 and the Shanghai Composite index gained 0.4% to 2,825.90. In Australia, the S&P/ASX 200 jumped 3.5% to 5,387.30 and South Korea's Kospi climbed 1.6% to 1,836.21.