Sensex Closes 175 Points Higher Ahead Of RBI Monetary Policy
Among stocks, Tata Motors was the star of the day after posting gains of 7 per cent at Rs 169.30 per share.
Photo Credit : PTI
Equity indices closed in the green on Wednesday amid expectations of another interest rate cut by the Reserve Bank of India (RBI) and report that the United States and China are moving closer to a trade deal.
Investors also cheered the Cabinet decision to approve the launch of Bharat Bond exchange-traded fund which will be a basket of bonds of government companies for retail investors. The BSE S&P Sensex closed 175 points higher at 40,850 while the Nifty 50 was up by 43 points at 12,037. Except for Nifty realty, all sectoral indices at the National Stock Exchange were in the positive terrain with Nifty PSU bank ticking up by 1.9 per cent, IT by 1.6 per cent, metal by 1.5 per cent and private bank by 1.1 per cent.
Among stocks, Tata Motors was the star of the day after posting gains of 7 per cent at Rs 169.30 per share. Metal stocks also reversed losses as Vedanta witnessed a gain of 3 per cent, Hindalco by 2.6 per cent and Tata Steel by 2.5 per cent.
Private lenders Yes Bank and ICICI Bank moved up by 5.8 per cent and 3.8 per cent respectively. The other prominent gainers were Wipro, Sun Pharma, ONGC and Titan.
However, those which lost were Larsen & Toubro, Reliance Industries, Coal India, IndianOil Corporation and Bajaj Finserv.
Meanwhile, Asian shares extended their losses after US President Donald Trump dashed hopes for a quick preliminary agreement with China on trade tariffs a day earlier, saying the deal may have to wait until after the 2020 presidential election.
Fresh US tariffs on Argentina and Brazil, as well as threatened duties on French goods, also darkened the mood. Japan's Nikkei dropped by 1.05 per cent, matched by 1.25 per cent fall in Hong Kong and 0.73 per cent drop in South Korea.