TCS, Airtel lead market surge as BSE benchmark Sensex shoots up by 76 points
Paring early losses, the BSE benchmark Sensex shot up by 76 points on Monday to close above the 20,000 mark for the first time in over six weeks, led by gains in blue-chip stocks, including TCS and Bharti Airtel, as inflation numbers met market expectations amid firm global cues.
The 30-share index started the day lower at 19,904.47 on profit booking triggered by weak IIP and retail inflation numbers that came after trading hours on Friday. It, however, reversed the falling trend during the day and closed 76.01, or 0.38 per cent higher at 20,034.48.
This is the first time that the index has closed above the 20,000 mark since 20,215.40 on May 30.
Similarly, the National Stock Exchange index Nifty gained 21.80 points, or 0.36 per cent, to close at 6,030.80. Also, SX40 index, the flagship index of MCX-SX, closed 51.15 points, or 0.43 per cent higher at 11,940.03.
Brokers said the trading sentiment improved as wholesale price index-based inflation rose less than the market expectations. The WPI-based inflation rose 4.86 per cent in June compared with 4.7 per cent in May. There was optimism over the earnings season, which took a firm start with Infosys results outperforming market expectations.
They said a firming trend in global markets as Chinese economic growth matched forecasts further influenced the trading sentiment.
Out of the 30 BSE index components, 18 stocks closed with gains led by Hindalco rising 3.69 per cent to Rs 105.40.
Other major gainers included Tata Consultancy Services (2.20 per cent), Bharti Airtel (3.20 per cent) and Hindustan Unilever (2.06 per cent).
Sector-wise, the realty sector index gained the most by 1.94 per cent to 1,547.66, followed by FMCG by 1.19 per cent to 7,030.41.
However, Infosys shares fell by 2.17 per cent to Rs 2,741.85 on profit booking. The stock had surged 12 per cent in the previous session after reporting higher quarter earnings.