Markets' sharp rebound makes investors richer by Rs 7.10 lakh cr

Investors' wealth soared Rs 7.10 lakh crore on Friday following a sharp rally in the equity market where the BSE Sensex jumped 1,292.92 points.

The 30-share BSE Sensex rallied 1,292.92 points or 1.62 per cent to 81,332.72. During the day, it soared 1,387.38 points or 1.73 per cent to 81,427.18.

Thanks to the optimistic trend, the market capitalisation of BSE-listed firms rallied by Rs 7,10,235.45 crore to hit an all-time high of Rs 4,56,92,671.33 crore (USD 5.46 trillion).

"Indian markets outperformed its global peers on the back of a strong across-the-board buying support after languishing in negative territory for the past five trading sessions.

"The sharp rebound signifies that India remains a good long-term bet and the economy continues to show strong resilience in spite of global uncertainty and geo-political tensions," Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, said.

Bharti Airtel emerged as the biggest gainer in the Sensex pack, climbing 4.51 per cent. Adani Ports, Tata Steel, JSW Steel, Infosys, Sun Pharma, HCL Technologies and Mahindra & Mahindra were other big gainers.

Nestle was the only laggard from the pack.

"The domestic market experienced a substantial rebound on the start of the next month's expiry, recovering from the recent losses incurred following the Union Budget. This upturn was driven by positive reactions to the better-than-expected US GDP, which augurs well for global demand. Investors are adopting buy-on-dip strategy, refocusing on quarterly earnings and stock-specific trends," Vinod Nair, Head of Research at Geojit Financial Services, said.

Benchmark indices were on the back foot for the past five straight sessions. In five days, the BSE benchmark Sensex tumbled 1,303.66 points or 1.60 per cent.

In the broader market, the BSE midcap gauge soared 2.12 per cent and smallcap index rallied 1 per cent.

All the indices ended higher, with telecommunication jumping 3.36 per cent, metal (3.19 per cent), teck (2.76 per cent), auto (2.35 per cent), commodities (2.26 per cent) and healthcare (2.10 per cent).

As many as 2,652 stocks advanced while 1,286 declined and 102 remained unchanged on the BSE. PTI SUM SUM SHW