MUMBAI : Indian equities recovered sharply on Thursday, with the Sensex climbing 628.04 points to 77,537.72 and the Nifty 50 adding 153.55 points to close at 24,231.85.
The Nifty gained 0.64%, ending a seven-session losing run. The Sensex rose 0.82% after four consecutive sessions of losses.
Buying was concentrated more heavily in large stocks. Fourteen of the 16 major sectoral indices ended higher, with IT gaining about 0.8% and financial stocks rising 0.7%.
Among individual stocks, Muthoot Finance gained 3.9% and Manappuram Finance rose 2.7%, supported by higher gold prices. Turtlemint Fintech advanced 4.1% after Jefferies initiated coverage with a positive view, while HDB Financial Services gained 1.4% after Morgan Stanley upgraded the stock.
Power Finance Corporation and REC moved lower, falling more than 2.5% after a Morgan Stanley downgrade.
The Nifty had lost about 2.1% over the previous seven sessions, with Wednesday’s close at 24,078.30. The Sensex had also gone through four straight sessions of losses before Thursday’s rebound.
Global bond markets provided a better backdrop for equities on Thursday. The US Treasury said it would increase purchases of longer-duration Treasury securities to $4 billion, helping ease pressure on US bond yields.
Lower US yields can improve the relative appeal of equities and emerging markets by reducing some of the pressure created by higher returns on dollar-denominated government debt.
Crude oil remained a concern for Indian markets. Brent crude moved above $93 a barrel, keeping attention on India’s import costs and the possible effect of energy prices on inflation.
The rupee ended at ₹95.7050 against the US dollar, compared with ₹95.7525 in the previous session.
The currency remained weak despite a softer dollar, with the RBI continuing to intervene in the foreign-exchange market.
