Benchmark indices ended higher on Tuesday with Sensex rising over 550 points and Nifty over 190 points due to support from Pharma, Auto, and Financial stocks, dealers said.
At close, Sensex ended 578.51 points or 0.98 percent at 59,719.74, and Nifty ended 194.00 points or 1.10 percent up at 17,816.25. About 2,109 shares have advanced, 1,362 shares have declined and 131 shares have remained unchanged.
Sun Pharma, Dr. Reddy’s Labs, Tata Steel, IndusInd Bank, and Titan Company were major gainers on the Sensex today. Nifty Pharma rose 3.08 percent, Nifty Auto inched up 1.66 percent, and BSE Commodities rose 1.29 percent.
“Bulls charged on D-Street today with the help of Autos & Financials with strong support coming from the laggard – Pharma Sector today. The surprise element to many of course was the Nifty Infrastructure sector which saw smart gains led by Cement yet again. Consumer Durable stocks too displayed good momentum ahead of the festive season on the back of a bountiful monsoon,” said S. Ranganathan, Head of Research at LKP securities.
Asian shares went up despite the assumption that the US Federal Reserve will hike the 75 basis points rate. The Nikkei Index ended 0.44 percent higher.
The blue-chip CSI 300 Index edged up 0.1 percent, while the Shanghai Composite Index added 0.2 percent. The Hang Seng Index gained 1.2 percent.
European shares rose at the open on Tuesday as banks gained. The pan-European STOXX 600 index rose.
Meanwhile, domestically, the Bank Nifty index continued its volatile move ahead of the US FED policy but remains in a buy mode as long as it holds the support of 40,500 on the downside. The index immediate upside hurdle is placed at 42,000 and once taken out on a closing basis it opens up the room for 43,000-43,600 on the upside.
“The index is likely to consolidate between 40,500-42,000 for one more day before starting a trending move on either side,” said Kunal Shah, Senior Technical Analyst at LKP Securities.