Sensex rallies 300 pts, metal stocks rebound

TIL Desk/Business/Mumbai/ Snapping its four-day losing streak, the benchmark Sensex recovered over 300 points in early trade today after metal stocks witnessed a rebound as concerns over a potential trade war faded, boosting global investor sentiment.

Metal stocks surged up to 3.48 per cent, led by gains in Jindal Steel, Vedanta, JSW Steel, Tata Steel, NMDC, Nalco, SAIL, Hindalco and Hindustan Zinc. The 30-share index rose 313.35 points, or 0.92 per cent, to 34,060.13. The gauge had lost 698.97 points in the previous four sessions.

All the sectoral indices were trading in the green. Metal, realty, consumer durables, capital goods and banking counters gained up to 1.90 per cent. The NSE Nifty rose 68.70 points, or 0.66 per cent, to 10.427.55. Major gainers that supported the recovery were IndusInd Bank, Yes Bank, Tata Motors, ICICI Bank and Dr Reddy’s.

Brokers said a fresh spell of buying by investors in beaten-down stocks and a firm trend at other Asian bourses aided gains in key indices after four days of losses. Meanwhile, on a net basis, domestic institutional investors (DIIs) sold shares worth Rs 154.20 crore, while foreign portfolio investors (FPIs) sold shares of Rs 366.60 crore yesterday.