Sensex extends gains, up 208 points in early trade, Nifty jumps 73 points; banking, metal, realty stocks up

Mumbai: Extending its post-Reserve Bank of India (RBI) policy rally, the BSE Sensex spurted 208 points in opening trade today on widespread buying, with banking, metal and realty sectors leading the gains.

The benchmark had rallied 276 points yesterday after the RBI hiked the policy rate after a four-year pause on inflation concerns but maintained its neutral stance.

The central bank also retained its gross domestic product (GDP) growth forecast for 2018-19 at 7.4 percent on hopes of higher investments and consumption.

The 30-share index was trading higher by 207.83 points, or 0.59 percent at 35,386.71.

All the sectoral indices were trading in the green. Realty, infrastructure, bankex, IT, capital goods, auto, FMCG, healthcare and oil & gas advanced up to 1.16 percent.

The NSE Nifty jumped 72.95 points or 0.68 percent to 10,757.60.

Major gainers were ICICI Bank, Infosys, ONGC, M&M, Yes Bank, Tata Steel, Hindustan Unilever, Wipro, Axis Bank, Bajaj Auto, RIL, Asian Paints, L&T, Kotak Bank, Tata Motors and HDFC Ltd, gaining up to 1.66 percent.

Brokers said sustained buying by domestic institutional investors (DIIs) and a firm trend at other Asian bourses supported the market sentiment.

Brokers watching stock movements. Representational image. Reuters.

Brokers watching stock movements. Representational image. Reuters.

DIIs had net bought shares worth Rs 712.31 crore, while foreign funds sold shares to the tune of Rs 81.40 crore yesterday, provisional exchange data showed.

Asian shares rose following overnight gains on Wall Street, supported by strong economic fundamentals, while expectations that the European Central Bank could start to wind down its stimulus boosted the euro and global bond yields.

Hong Kong's Hang Seng was up 0.60 per cent while Japan's Nikkei gained 0.96 percent in early trade today. Shanghai Composite Index was up by 0.16 percent.

The US Dow Jones Industrial Average ended 1.40 per cent higher yesterday.

Rupee depreciates

The rupee depreciated by 17 paise to 67.09 against the US dollar in early trade today after RBI's rate hike amid fresh demand for the American unit from importers and banks.

Yesterday, the RBI hiked the policy rate for the first time in over four years -- by 0.25 percent -- to curb inflationary pressures from high oil prices.

Weakness in the US dollar against other currencies, including the euro, limited the rupee's fall, analysts said.

The rupee had ended at a fresh one-month high of 66.92 yesterday, surging 23 paise against the US dollar.

Firstpost is now on WhatsApp. For the latest analysis, commentary and news updates, sign up for our WhatsApp services. Just go to and hit the Subscribe button.

Updated Date: Jun 07, 2018 10:34:47 IST

Also See