Equity benchmark Sensex rallied 639 points on Thursday, propelled by index majors Infosys, ICICI Bank and Reliance Industries amid a positive trend in global markets.
The 30-share BSE index ended 638.70 points or 1.22% higher at 52,837.21, while the broader NSE Nifty surged 191.95 points or 1.23% to 15,824.05.
Tech Mahindra was the top gainer in the Sensex pack, jumping over 5%, followed by Bajaj Finance, Bharti Airtel, Bajaj Finserv, L&T, Tata Steel and Infosys.
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On the other hand, HUL, Asian Paints, Bajaj Auto and M&M were the laggards. According to Milind Muchhala, Executive Director, Julius Baer, Indian markets have made a smart pull-back, supported by the positive global set-up and a decent start to the Q1FY22 earnings season.
"Markets are clearly rewarding the stocks/sectors where the earnings momentum is strong (such as IT - especially midcap IT, cement, metals) or where growth visibility remains good (such as chemicals, healthcare, etc.).
“Moreover, with the flurry of IPOs, which are seeing a very healthy response from investors, the related sectors are seeing interest due to benchmark valuations. Also with the headline index remaining steady at elevated levels, the broader market (Midcaps/Smallcaps) continues to witness a lot of excitement/participation," he said.
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Elsewhere in Asia, bourses in Shanghai, Hong Kong, Seoul and Tokyo ended with strong gains. Equities in Europe were also trading on a positive in mid-session deals.
Meanwhile, international oil benchmark Brent crude advanced 1% to $72.95 per barrel.