Sensex jumps 295 pts as investors turn blind eye to Omicron woes

NEW DELHI: The benchmark indices surged significantly from day’s low on Monday as investors rushed to buy stocks at low levels, as many studies said the Omicron is not that potent despite being far more virulent.

Pharma, IT and finance were major contributors to the market recovery. Asian markets traded mixed backed by a pledge of support measures from the Chinese central bank. The US futures and European indices traded flat amid wounded risk sentiments owing to rocketing Omicron cases.

The 30-share pack Senex advanced 295.93 points or 0.52 per cent to close at 57,420.24. The index gyrated about 970 points during the day. Its broader peer NSE Nifty added 82.50 points or 0.49 per cent to 17,086.25.


“Despite spiking Covid cases globally, the domestic market rebounded post its weak opening factoring the low mortality rate of the new variant,” Vinod Nair, Head of Research at Geojit Financial Services.

Market at a glance:

• RBL Bank tanked 18% as the board appointed interim MD & CEO
• Inox Leisure declined 4% as states enforced Covid-19 curbs
• HP Adhesives surged 22% on the first day on exchanges
• Emami Realty zoomed 8% after CARE upgraded ratings
• India VIX, the barometer of volatility, surged 6% to 17.11

Among the blue-chip names, Tech Mahindra was the top gainer, rising 3.44 per cent. Cipla, Dr Reddy’s Labs, UPL, Kotak Mahindra Bank, ICICI Bank, Sun Pharma and Tata Motors were other gainers.

Hindalco Industries was the top loser in the Nifty pack, falling 1.42 per cent. Britannia Industries, ONGC, IndusInd Bank, Maruti Suzuki, Asian Paints, ITC and Reliance Industries were other stocks that ended in the red.

The broader market indices ended higher, underperforming their headline peers. Nifty Smallcap rose 0.20 per cent and Nifty Midcap advanced 0.44 per cent. Nifty 500, the broadest index on NSE, ended up 0.43 per cent.

Sunteck Realty, Happiest Minds Technologies, Suzlon Energy, Navin Fluorine, Natco Pharma and Shriram Transport Finance were top gainers from mid and smallcap indices, climbing in the range of 4-9 per cent.

Zee Entertainment Enterprises, Dhani Services, United Breweries, Tanla Platforms, Radico Khaitan and BEML were major losers from broader market space, falling in the range of 2-5 per cent.

The sectoral matrix on the NSE was mixed. Nifty Pharma was the top gainer, rising 1.62 per cent, followed by 0.91 per cent gains in Nifty Financial Services. Nifty Media was the top loser, down 1.06 per cent, Nifty FMCG and Nifty metal ended down marginally.

Markets are facing pressure on every rise. It will only subside if the cases tally remains under control. We recommend keeping a check on leveraged positions amid volatility and letting the markets stabilise.

-Ajit Mishra, Religare Broking

The market breadth was in favour of winners as 2,143 stocks ended in the green, while 1,328 names settled with cuts. As many as 349 securities hit 52-week highs, mostly from the smallcap space. Meanwhile, 34 names hit 52-week lows, mostly from the microcap space. About 735 stocks hit upper circuit limits and 160 lower circuit limits.

European markets were trading higher. London was shut while Paris and Frankfurt added 0.14 per cent and 0.20 per cent, respectively. In Asia, Taiwan and Indonesia ended higher, while others closed in the red.