Stocks

Sensex rallies 432 pts on F&O expiry; financial stocks shine

PTI Mumbai | Updated on November 26, 2020 Published on November 26, 2020

Nifty gains 128 points at 12987

Equity benchmark Sensex rallied 432 points on Thursday, tracking gains in banking and financial stocks as the November series derivatives expired amid largely positive cues from global markets.

After a volatile session, the 30-share BSE index ended 431.64 points or 0.98 per cent higher at 44,259.74.

Similarly, the broader NSE Nifty surged 128.60 points or 1 per cent to 12,987.

Tata Steel was the top gainer in the Sensex pack, rising around 5 per cent, followed by Bajaj Finance, Bajaj Auto, HDFC, HCL Tech and Titan.

On the other hand, Maruti, ONGC, IndusInd Bank and Tech Mahindra were among the laggards.

Domestic equities witnessed sharp recovery led by sharp rebound in banking, financial services and insurance (BFSI) stocks and metals.

BFSIs continued to be a key driving force for the market, said Binod Modi, Head- Strategy at Reliance Securities.

“Improved prospects of earnings recovery in the backdrop of improvement in collection efficiencies, better outlook for credit costs and possibility of reversal of provisions due to resolution of select large accounts along with better valuations attracted investors in BFSIs,” he noted.

Heavy buying sentiment was also seen as November derivative contracts expired, traders said.

Elsewhere in Asia, bourses in Shanghai, Tokyo, Hong Kong and Seoul ended with significant gains.

Stock exchanges in Europe, however, began of a tepid note.

Meanwhile, Brent crude futures, the global oil benchmark, was trading 1.32 per cent higher at USD 47.89 per barrel

 

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Published on November 26, 2020
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