Sensex soars 793 points on FPI surcharge rollback; Nifty reclaims 11,000

BSE benchmark Sensex skyrocketed 793 points on Monday, led by gains in banking stocks after the government rolled back the enhanced surcharge on foreign portfolio investors, and unveiled a slew of measures to boost the economy.

 

After gyrating 1,052 points, the 30-share Sensex ended 792.96 points, or 2.16 per cent, higher at 37,494.12. It hit an intra-day high of 37,544.48 and low of 36,492.65.

 

Similarly, the broader NSE Nifty reclaimed the 11,000-level, advancing 228.50 points, or 2.11 per cent, to 11,057.85. During the day, it climbed a peak of 11,070.30 and touched a low of 10,756.55.

 

Both benchmarks Sensex and Nifty have logged their best single-day gains since May 20. 

 

Indian equities also managed to keep within bounds the global negative sentiment emanating from intensified trade war rhetoric between the two major economies, the US and China. 

 

Yes Bank topped the gainers' list on the Sensex. It was followed by HDFC, Bajaj Finance, HDFC Bank, ICICI Bank, L&T, SBI, Axis Bank and Kotak Bank -- rallying up to 5.24 per cent.

 

On the other hand, Tata Steel, Sun Pharma, Hero MotoCorp, Vedanta, RIL, Tata Motors, Maruti Suzuki and Bajaj Auto fell up to 2.01 per cent.

 

"Indian markets opened higher following policy stimulus announcement by Finance Minister on Friday with a raft of measures," said Narendra Solanki, Head Fundamental Research (Investment Services) - AVP Equity Research, Anand Rathi Shares & Stock Brokers. 

 

Asian stocks were battered after US President Donald Trump fuelled the trade war with China by imposing more tariffs on Chinese goods, traders said.

 

Shanghai Composite Index, Hang Seng, Kospi and Nikkei ended significantly lower.

 

Later in the day, Trump said that the US and Chinese trade negotiators would "very shortly" resume talks in what he described as a breakthrough in the two economic superpowers' trade war.

 

"Domestic he markets recovered from the day's low in afternoon session as news of China's willingness to negotiate on US-China trade raised hopes of traders with added to the already positive domestic sentiments," Solanki said.

 

Equities in Europe were trading a tad higher in their respective early sessions.

 

Meanwhile, the Indian rupee depreciated 21 paise to 71.87 against the US dollar intra-day.

 

Brent crude futures, the global oil benchmark, rose 0.92 per cent to USD 59.34 per barrel.