BSE Sensex surged over 300 points in trade on Tuesday after a four-day slide led by sustained buying in realty, metal and banking shares.
According to dealers, the market is witnessing a technical bounce back after a sharp correction and is expected to remain rangebound. It will take direction from the outcome of UP elections, Union Budget and Reserve Bank of India 's policy meet.
Key benchmark indices surged in trade, helped by firm Asian markets. Asian shares edged higher as markets waited for a second liquidity injection from the European Central Bank. However, rise in crude oil price might play spoilsport and may cap any additional gains, experts say.
U.S. and Brent crude oil futures slipped, extending losses after snapping a week-long rally on Monday, hurt by a warning from the Group of 20 leading economies about the risks to global growth from higher oil prices.
At 12:00 p.m., Bombay Stock Exchange realty index was the largest gainer among sectoral indices, up 80 points up or 4.3% followed by banking and metal indices which were up 3.46% and 3.41% respectively. The benchmark index was trading 1.7% higher at 17,743.
"Metals and real estate that were beaten down in Monday's savage correction seem to be the biggest gainers and are likely to continue to lead the charge. We expect metals to continue to outperform should the current rally in the markets to continue," said Kunal Saraogi, CEo, Equityrush.
"Real esate remains a different story though and it is unlikely that there will be a very meaningful or long term change in the fortunes for real estate companies just yet," added Kunal.
Among individual stocks, DB Realty surged more than 7%, while Sobha Developers, Unitech, DLF and Prestige Estate were trading 4% higher.
The strength in the markets is further confirmed by the broad based nature of the rally as both large-cap and mid-cap stocks have moved higher smartly.
BSE metal index surged over 3% led by gains in Hindalco, Sterlite Industries, NALCO and Tata Steel were trading 3-4% higher.
BSE Banking index rose over 3% led by gains in Axis Bank (up 3.7%), Bank of India (up 6.7%), Canara Bank (up 6.7%), Bank of Baroda (up 4.7%), Yes Bank (up 6%), ICICI Bank (up 4.4%) and SBI (up 4.4%).
News bureau,
According to dealers, the market is witnessing a technical bounce back after a sharp correction and is expected to remain rangebound. It will take direction from the outcome of UP elections, Union Budget and Reserve Bank of India 's policy meet.
Key benchmark indices surged in trade, helped by firm Asian markets. Asian shares edged higher as markets waited for a second liquidity injection from the European Central Bank. However, rise in crude oil price might play spoilsport and may cap any additional gains, experts say.
U.S. and Brent crude oil futures slipped, extending losses after snapping a week-long rally on Monday, hurt by a warning from the Group of 20 leading economies about the risks to global growth from higher oil prices.
At 12:00 p.m., Bombay Stock Exchange realty index was the largest gainer among sectoral indices, up 80 points up or 4.3% followed by banking and metal indices which were up 3.46% and 3.41% respectively. The benchmark index was trading 1.7% higher at 17,743.
"Metals and real estate that were beaten down in Monday's savage correction seem to be the biggest gainers and are likely to continue to lead the charge. We expect metals to continue to outperform should the current rally in the markets to continue," said Kunal Saraogi, CEo, Equityrush.
"Real esate remains a different story though and it is unlikely that there will be a very meaningful or long term change in the fortunes for real estate companies just yet," added Kunal.
Among individual stocks, DB Realty surged more than 7%, while Sobha Developers, Unitech, DLF and Prestige Estate were trading 4% higher.
The strength in the markets is further confirmed by the broad based nature of the rally as both large-cap and mid-cap stocks have moved higher smartly.
BSE metal index surged over 3% led by gains in Hindalco, Sterlite Industries, NALCO and Tata Steel were trading 3-4% higher.
BSE Banking index rose over 3% led by gains in Axis Bank (up 3.7%), Bank of India (up 6.7%), Canara Bank (up 6.7%), Bank of Baroda (up 4.7%), Yes Bank (up 6%), ICICI Bank (up 4.4%) and SBI (up 4.4%).
News bureau,
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