Domestic stock markets on Tuesday closed on a positive note aided by sustained buying across pharma, FMCG and IT stocks, as investors await the final outcome of the state assembly elections results. From the previous day’s close Bombay Stock Exchange (BSE) benchmark index Sensex settled at 35,150.01up 190.29 points or 0.54 percent and the Nifty50 index of the National Stock Exchange (NSE) gained 60.70 points or 0.58 percent to end at 10,549.15.
Apparently, investors are now looking forward to the government’s announcement regarding the next Reserve Bank of India (RBI) governor which is likely to be done later in the day.
On Tuesday, thirty eight out of the 50 stocks on the Nifty closed in the positive zone, with Yes Bank being the top gainer on the index.
Other major gainers on the 50-scrip index Nifty were Sun Pharma (+6.22 percent), Kotak Bank (+3.39 percent), Bajaj Finserv (+3.09 percent) and Asian Paints (+3.82 percent).
Though the rupee pared some early losses after Finance Secretary AN Jha said the government was likely to make an announcement regarding Urjit Patel’s successor as RBI governor. Urjit Patel’s unexpected resignation on Monday caused the rupee to slip by 110 paise, to trade at 71.81 per US dollar.
“Markets had already discounted the state election results on Monday and short covering was witnessed during the day leading to markets closing positive. Among sectors, pharma and PSU banks saw a smart recovery,” according to Viral Berawala, CIO, Essel Mutual Fund.
Globally too, Brent crude oil futures slipped below $60 per barrel mark, slipping 0.32 percent to 59.78 per barrel.
Also read: RBI Governor Urjit Patel resigns