Markets claw back lost ground, investors richer by Rs 5 lakh crore

PTI

Mumbai, May 20

The Sensex surged over 1,500 points while the Nifty reclaimed the 16,000-mark on Friday, reversing the previous session’s sharp decline in tandem with a recovery across global markets as investors resorted to bargain-hunting.

SENSEX SURGES 1,534.16 POINTS

CLOSES AT 54,326.39

RUPEE HOLDS AT 77.63/$

• NSE Nifty rose 456.75 points to settle at 16,266.15 points
• Dr Reddy’s topped the gainers’ chart, followed by Reliance Industries

Snapping its two-day losing run, the BSE Sensex rallied 1,534.16 points or 2.91 per cent to close at 54,326.39. This was its biggest single-day jump in over three months.

Similarly, the broader NSE Nifty soared 456.75 points or 2.89 per cent to 16,266.15.

A sharp rebound made investors richer by over Rs 5 lakh crore. All 30 Sensex firms ended in the green. Dr Reddy's topped the gainers’ chart with a jump of 8.10 per cent, followed by index heavyweight Reliance Industries which zoomed 5.77 per cent. Nestle India, Tata Steel, Larsen & Toubro, Axis Bank, Sun Pharma and IndusInd Bank were among the other major winners.

“The market displayed a confident yet calm rally throughout the day, supported by fortified global markets, especially the Asian market. The Chinese central bank cut a key interest rate to support growth, injecting optimism into emerging markets.

“With concerns over an economic slowdown and rate hikes across the globe, investors will continue to invest with caution. Value stocks should do well during this consolidation period,” said Vinod Nair, head of research at Geojit Financial Services.

On a weekly basis, the Sensex climbed 1,532.77 points or 2.90 per cent, while the Nifty gained 484 points or 3.06 per cent. “Markets have been seeing a roller-coaster ride and the key is to manage the overnight risk. Going ahead, global cues, the last leg of earnings and updates on the Russia-Ukraine war will be on the radar,” said Ajit Mishra, VP — Research, Religare Broking Ltd.