Sensex Surges Over 800 Points, Posts Best Single-Day Gain In Four Months

The Sensex clocked its best single-day gain since September 25, 2020 on the back of a broad-based buying interest

Sensex Surges Over 800 Points, Posts Best Single-Day Gain In Four Months

The S&P BSE Sensex and NSE Nifty 50 indexes clocked their best single-day gains since September 25, 2020 on Tuesday (January 20,2021) on the back of a broad-based buying interest. The benchmarks snapped their two-day losing streak as investors resorted to value buying at lower levels. During the session, Sensex rose as much as 936 points and Nifty 50 index touched an intraday high of 14,546.05.

The Sensex climbed 1.72 per cent or 834 points to close at 49,398 and Nifty 50 index rose 240 points or 1.68 per cent to settle at 14,521.

Value buying at lower levels, better than expected earnings from Indian companies in December quarter amid sustained buying of Indian equities by foreign investors' boosted sentiment on Dalal Street, analysts said.

Janet Yellen's Treasury Secretary confirmation speech, in which she is expected to bolster the case for heavy fiscal stimulus in the world's largest economy also kept the global sentiment upbeat for equities.

Back home, buying was visible across sectors as all the 19 sector gauges compiled by the BSE ended higher led by the S&P BSE Realty index's over 4 per cent gain. Metal, Capital Goods, Oil & Gas, Utilities, Banking, Industrials and Finance sector gauges also rose between 1.5-2.5 per cent.

Mid- and small-cap shares also witnessed strong buying interest as the S&P BSE MidCap index rose 2.3 per cent and &P BSE SmallCap index climbed 1.7 per cent.

Bajaj Finance and Bajaj Finserv were among the top Nifty gainers, both the stocks rose over 5 per cent ahead of December quarter earnings. Tata Motors, Hindalco, Sun Pharma, Adani Ports, HDFC, Grasim Industries, JSW Steel, Cipla, ICICI Bank and Larsen & Toubro also rose between 2.6-5 per cent.

On the flipside, ITC, Tech Mahindra, Britannia Industries and Mahindra & Mahindra were among the notable losers.

The overall market breadth was extremely positive as 2,124 shares ended higher while 874 closed lower on the BSE.