Investors wealth climbs over Rs 2.27 lakh cr as markets rally

The 30-share BSE Sensex jumped 709.96 points or 1.16 per cent to settle at 61,764.25. During the day, it zoomed 799.9 points or 1.31 per cent to 61,854.19

NewsDrum Desk
08 May 2023
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Representative Image

New Delhi: Investors became richer by over Rs 2.27 lakh crore on Monday as equities rebounded, with the BSE Sensex rallying over 1 per cent amid continuous foreign fund inflows and upbeat global markets.


The 30-share BSE Sensex jumped 709.96 points or 1.16 per cent to settle at 61,764.25. During the day, it zoomed 799.9 points or 1.31 per cent to 61,854.19.

Following the rally, the market capitalisation of BSE-listed firms jumped by Rs 2,27,794.46 crore to Rs 2,76,06,443.06 crore.

Foreign Institutional Investors (FIIs) were net buyers on Friday as they bought equities worth Rs 777.68 crore, according to exchange data.


"Markets recouped all of Friday’s losses as bulls took over the positive baton from the strong close at Wall Street amidst upbeat US jobs data. Realty, auto and banking stocks were star outperformers that triggered a sharp rally in benchmark indices," said Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd.

The BSE benchmark had tanked 694.96 points or 1.13 per cent to settle at 61,054.29 on Friday. The Nifty fell 186.80 points or 1.02 per cent to end at 18,069.

"While the undertone continued to remain bullish, the upbeat US market close last Friday further buoyed the local market sentiment. Hopes of interest rate hike cycle reaching its peak and banking woes in the US receding, investors latched upon rate-sensitive stocks of banking, automobile and realty as strong monthly sales numbers are pointing towards a decent recovery," Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd, said.


Among the Sensex firms, IndusInd Bank jumped 4.92 per cent. The other winners were Tata Motors, Bajaj Finance, Bajaj Finserv, NTPC, HCL Technologies, Mahindra & Mahindra, Axis Bank, Maruti and Kotak Mahindra Bank.

Value buying in index heavyweights Reliance Industries and HDFC Bank also added to the momentum.

In the broader market, the BSE midcap jumped 0.94 per cent and smallcap climbed 0.56 per cent.


Among indices, auto rallied 1.71 per cent, realty jumped 1.54 per cent, bankex (1.50 per cent) financial services (1.46 per cent), consumer discretionary (1.08 per cent) and services (0.93 per cent).

Only the BSE consumer durables index ended lower.

"Indian equities gained confidence from strong domestic earnings and fading concerns over the US economic slowdown following robust job data. The recent weakness in the US dollar is drawing more foreign funds to the domestic market, with FIIs remaining net buyers for seven consecutive days," said Vinod Nair, Head of Research at Geojit Financial Services.