Image credit: Outlook Business
Stock Market Today: Today Sensex started with gains and at the end of trading, Sensex and Nifty closed one percent higher due to buying in different sectors.
Stock Market Today: Due to the last round of buying in different sectors amid mixed signals from the global market, on Thursday, May 16, the stock market benchmarks Sensex and Nifty closed spectacularly with a gain of about one percent.
Stock markets turned bullish along with their key Asian counterparts on fears that the Federal Reserve will start cutting rates due to soft April inflation data in the US.
Japan’s Nikkei rose 1.37 percent and Korea’s KOSPI rose 0.82 percent. Hang Seng saw a rise of 1.56 percent.
However, major European markets saw weak trading. When the Sensex closed, France’s CAC was down more than 40.5 per cent, while the UK’s FTSE and Germany’s DAX were down 0.30 per cent.
The US consumer price index (CPI) rose 0.3 percent sequentially in April. The CPI rose 3.4 percent on an annual basis after rising 3.5 percent in March.
The smaller-than-expected increase in inflation prints raised optimism that the US Fed could start cutting rates in the second half of this year.
The Sensex opened at 73,338.24, up 351 points from its previous close of 72,987.03, but failed to hold on to the gains and fell 457 points to a low of 72,529.97 during the session. However, during the last hour of trading the index changed direction again and closed 677 points or 0.93 per cent higher at 73,663.72.
Nifty 50 opened at 22,319.20 against its previous close of 22,200.55 and touched its intraday high and low of 22,432.25 and 22,054.55 respectively. The index closed 203 points or 0.92 percent higher at 22,403.85.
Nearly 200 stocks including Hero MotoCorp, Mahindra & Mahindra, Indigo, Ashok Leyland, Bharat Forge, Havells India, Hindustan Aeronautics and Siemens hit fresh 52-week highs in intraday trade on the BSE.
The total market capitalization of companies listed on the BSE rose to around Rs 407.4 lakh crore from around Rs 404.3 lakh crore in the previous session, giving investors a profit of over Rs 3.1 lakh crore in a single session.
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