Metal stocks rallied on hopes of some resolution on the trade war front. US Treasury Secretary Steven Mnuchin said that the trade deal between the United States and China is “about 90 percent” complete
It was another day of the rally as Sensex climbed more than 150 points while Nifty closed above 11800 on June 26.
The final tally on D-Street – Sensex rallied 157 points to 39,592 while the Nifty closed 51 points higher at 11,847 to hit 2-week closing high.
S&P BSE Metal index rose 2.8 percent, followed by the S&P BSE Power index that was up 2.1 percent, and the S&P BSE Realty index that surged 1.4 percent.
Metal stocks rallied on hopes of some resolution on the trade war front. US Treasury Secretary Steven Mnuchin said that the trade deal between the United States and China is “about 90 percent” complete, CNBC reported.
On the other hand, profit taking was seen in IT, telecom, FMCG, consumer, and energy stocks. In the broader market space, the S&P BSE Smallcap index rose 0.47 percent while the Midcap index closed with gains of 0.85 percent.
Despite muted global cues, benchmark indices managed to put up a strong show ahead of the June expiry on June 27 amid reports of some agreement between US and China on trade issues. Volatility is likely to continue as traders will roll over their positions from June series to July series.
“The positive momentum continued for the second straight day, as the equity benchmark indices ended June 26 session with healthy gains, led by optimism over US-China trade deal,” Jayant Manglik, President - Retail Distribution, Religare Broking Ltd told Moneycontrol.
“The near-term movement in the market is likely to be driven by progress on monsoon and global developments. The G20 summit, to be held on June 28-29, will be closely monitored,” he said.
Top Sensex gainers include Vedanta, Power Grid, Sun Pharma, YES Bank, and Tata Steel.
Top Sensex losers include Infosys, IndusInd Bank, Bharti Airtel, Maruti Suzuki, TCS and Hero MotoCorp.
Stocks in news:
Shares of Orchid Pharma rose 5 percent after NCLT approved Dhanuka Laboratories' resolution plan.
SBI Life Insurance Company added more than 6 percent after research house Deutsche Bank said it has maintained 'buy' rating on the stock with a target of Rs 830 per share.
Torrent Power shares rallied 4 percent after Gujarat Electricity Regulatory Commission approved power procurement arrangement.
Reliance Infrastructure gained 17 percent on receiving EPC contract to build Versova-Bandra Sea Link in Mumbai.
Shares of liquor maker Radico Khaitan rallied 6 percent after Emkay said it feels the stock is undervalued and has potential to return 79 percent.
IFCI shares rallied 12 percent after it said it has prepared a detailed corporate business plan with respect to the sale of non-core assets and recovery of NPAs.
European markets rebounded from the lower levels on June 26 after US Treasury Secretary Steven Mnuchin said that the trade deal between US and China was almost complete.Asian markets ended mixed with Nikkei down 0.51 percent at 21,086.59, Kospi flat at 2,121.85 and Shanghai composite down 0.19 percent at 2,976.28.