Indian equity markets staged a strong recovery on Monday, with the benchmark Sensex advancing 648.56 points, or 0.90 per cent, to close at 72,558.26 — snapping one of the longest losing runs in decades.
Broad-based buying
The index opened 431.25 points higher and extended gains through the day, briefly touching 72,552.08. Large caps led the rally: Bajaj Finance surged 4.50 per cent, while M&M Financial Services led BSE500 gainers with a 5.12 per cent jump. On the downside, GSPL Transmission fell 4.99 per cent and Avenue Supermarts declined 2.86 per cent.
Market breadth was robust — 365 advances against 136 declines across the BSE500, an advance-decline ratio of 2.68, with 34 of 38 sectors finishing in the green. The Nifty Media sector was the top performer, surging 1.85 per cent, while BSE Healthcare lagged with a 0.77 per cent slip. Midcap and smallcap indices also gained around 0.8 per cent.
What's driving the rebound
The rally came on easing crude prices — Brent declined about 0.7 per cent to $101.50 a barrel — and fading expectations of further US Federal Reserve tightening at its October meeting, after weak US jobs data. The rupee opened firmer at 96.22 to the dollar, versus Thursday's close of 96.32.
V K Vijayakumar, chief investment strategist at Geojit Investments, said that after eight weeks of declines the market appeared set for a near-term rebound, citing better-than-expected Accenture results and the RBI clearing Anup Bagchi as the next HDFC Bank MD and CEO. He cautioned that elevated crude prices, high US bond yields and sustained foreign institutional selling — FIIs sold Rs 44,013 crore of Indian equities in September, per Equinomics Research — remain headwinds.
Caution ahead
Despite Monday's gains, the Sensex remains just 1.74 per cent above its 52-week low of 71,292.88 and trades below its 50-day moving average, a medium-term bearish signal. Investors now turn to quarterly earnings, with Tata Consultancy Services reporting on October 8, for the next directional cue.
Sources:
MarketsMojo — Sensex Advances 0.90% Led by Large Caps; Media Sector Outperforms
Times Now — Stock Market Today (October 5): Sensex, Nifty Open Higher
Broad-based buying
The index opened 431.25 points higher and extended gains through the day, briefly touching 72,552.08. Large caps led the rally: Bajaj Finance surged 4.50 per cent, while M&M Financial Services led BSE500 gainers with a 5.12 per cent jump. On the downside, GSPL Transmission fell 4.99 per cent and Avenue Supermarts declined 2.86 per cent.
Market breadth was robust — 365 advances against 136 declines across the BSE500, an advance-decline ratio of 2.68, with 34 of 38 sectors finishing in the green. The Nifty Media sector was the top performer, surging 1.85 per cent, while BSE Healthcare lagged with a 0.77 per cent slip. Midcap and smallcap indices also gained around 0.8 per cent.
What's driving the rebound
The rally came on easing crude prices — Brent declined about 0.7 per cent to $101.50 a barrel — and fading expectations of further US Federal Reserve tightening at its October meeting, after weak US jobs data. The rupee opened firmer at 96.22 to the dollar, versus Thursday's close of 96.32.
V K Vijayakumar, chief investment strategist at Geojit Investments, said that after eight weeks of declines the market appeared set for a near-term rebound, citing better-than-expected Accenture results and the RBI clearing Anup Bagchi as the next HDFC Bank MD and CEO. He cautioned that elevated crude prices, high US bond yields and sustained foreign institutional selling — FIIs sold Rs 44,013 crore of Indian equities in September, per Equinomics Research — remain headwinds.
Caution ahead
Despite Monday's gains, the Sensex remains just 1.74 per cent above its 52-week low of 71,292.88 and trades below its 50-day moving average, a medium-term bearish signal. Investors now turn to quarterly earnings, with Tata Consultancy Services reporting on October 8, for the next directional cue.
Sources:
MarketsMojo — Sensex Advances 0.90% Led by Large Caps; Media Sector Outperforms
Times Now — Stock Market Today (October 5): Sensex, Nifty Open Higher
