7 Factors That Pushed Sensex By Over 428 Points

After 4-days of continuous losses, the indices have managed to gain some ground with the Nifty again topping levels of 12000 and above. So, here are the factors fuelling today's rally:

7 Factors That Pushed Sensex By Over 428 Points

1. Gains in the heavyweight:

RIL after a week's loss has gained some momentum and at one-point in trade was the top gainer on the Nifty. Also, there were again stocks that propelled the stocks today such as Nestle, HUL. On the Nifty, top gainer has been so far Bharti Infratel.

2. Coronavirus cases receded:

There was earlier a call made by Chinese medical officer that cases of coronavirus are likely to see an end by June this year. Even as the death toll on account of the deadly virus increased, there were reported lesser fresh cases and hence sentiment improved.

Also, Nirmala Sitharaman instilled the confidence among businesses that there shall be no impact due to the virus on India's businesses and further new measures shall be likely taken to curb its impact.

3. Mid cap and small cap index gains:

Earlier there was a call that RBI announcement and budget proposals would be positive for small and mid-caps and today both the index i.e. BSE Midcap and BSE small cap surged over 1% in trade today

4. Banking stocks also saw a breather:

Kotak Mahindra bank which was a given a final approval from the RBI for stake dilution together with HDFC Bank has instilled a breather for banking stocks and the Bank Nifty index as a whole. After the SC verdict on telecom companies, these were the worst hit due to their huge exposure in the company.

5. Telecom relief likely on the anvil:

Government today said that as far as possible it will provide relief to telecom companies in respect of AGR dues. And the move lifted Vodafone Idea by as much as 31% in trade today.

6. Asian markets trade mixed:

After the US company Apple Inc. announced its concerns of not likely meeting its revenue guidance for March, Asian markets are trading mixed. Shares in Australia are up 0.14%, Nikkei also jumped 0.61%.

7. Boost for the rural sector:

Union Cabinet today approved Rs. 4600 crore for dairy farming as also the benefit under subvention scheme have been hiked to 2.5%.

 

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