Sensex extends gains to second day amid easing Covid concerns

NEW DELHI: Benchmark indices extended gains to a second straight day on Monday amid buying interest seen in financial and realty stocks, buoyed by improving Covid-19 conditions and strong global cues.

A steady decline in fresh Covid cases and hopes of the lockdown being lifted sooner boosted the sentiment on Dalal Street.

The 30-share pack Sensex added 111.42 points or 0.22 per cent to close at 50,651.90. The index traded in a range of 391.69 points during the day. Its broader peer NSE Nifty advanced 22.40 points or 0.15 per cent to settle at 15,197.70.


“Positive quarterly earnings and easing asset quality woes helped banking stocks attract buying interest while midcap and smallcap stocks outperformed. On the global front, UK and US manufacturing PMI data showed record high numbers. However, investors are awaiting inflation data for guidance on monetary policy," said Vinod Nair, Head of Research at Geojit Financial Services.

Market at a glance:

• Natco Pharma rallies 20% after nod for Covid-19 and cancer drug
• Butterfly Gandhimathi Appliances surges 19% after Q4 earnings
• SBI rises 2% as company, analysts expect rapid growth
• Metal, FMCG stocks see profit booking
• Smallcap stocks outperform; Nifty Smallcap rises 1%

Among the blue-chip stocks, Indian Oil was the top gainer, rising 5.10 per cent. BPCL, SBI, L&T, Eicher Motors, UPL, Power Grid, ITC, Coal India, Dr Reddy’s Labs and Axis Bank were among other gainers.

Shree Cement was the top loser in the Nifty pack, falling 2.51 per cent. JSW Steel, Tata Steel, Britannia, IndusInd Bank, Tata Consumer, UltraTech Cement and Titan were other scrips that ended in the red.

Broader market indices ended higher, outperforming their headline peers. Nifty Smallcap added 1 per cent and Nifty Midcap gained 0.67 per cent. Nifty 500, the broadest index on NSE, fell 0.35 per cent.

Natco Pharma, Container Corporation, Laurus Labs, Lux Industries, Century Ply and Delta Corps were top gainers from midcap and smallcap indices, climbing in the range of 6-10 per cent.

Ircon International, India Cements, Balrampur Chini Mills, Hindustan Zinc, Oberoi Realty and Torrent Power were major losers from the broader market space, falling in the range of 2-5 per cent.

The sectoral matrix on NSE was mixed. Nifty PSU Bank was the biggest gainer, rising 2.13 per cent. It was followed by Nifty Realty and Nifty Media, which rose more than 1 per cent each. Nifty Metal fell 0.6 per cent and Nifty FMCG 0.34 per cent.

We reiterate our bullish yet cautious stance and suggest keeping the focus on the selection of sectors and stocks.

-Ajit Mishra, Religare Broking

Market breadth was in favour of bulls as 1,967 stocks ended in the green whereas 1,250 counters settled with cuts. As many as 370 securities hit 52-week highs, mostly from the smallcap space. Meanwhile, 47 names hit 52-week lows, mostly from the microcap space. About 513 stocks hit upper circuit limits and 218 lower circuit limits.

European markets were trading lower at the last count. London-based FTSE was up 0.24 per cent while Paris and Frankfurt advanced 0.05 per cent and 0.44 per cent, respectively. In Asia, Japan, Singapore, Taiwan and China closed higher, while the rest of the markets ended with losses.