Sensex closes 193 points up, Nifty ends above 12,050; PSU Bank index settles flat

Mumbai: The BSE Sensex on Tuesday (January 7) closed 192.84 points higher or 0.47% at 40,869.47, while the broader Nifty ended up 60 points, or 0.50 percent, at 12,052.95. BSE Midcap and Smallcap indices outperformed the benchmark, rising 0.65 percent and 0.99 percent, respectively.

Among sectoral indices, Nifty Realty rose almost 2 percent. Although Nifty PSU Bank index settled flat, all sectoral indices closed with gains.

After touching an intraday high of 41,230.14, the Sensex met with profit-taking amid fresh selling from investors and was quoted at 168.87 points at 40,845.50. The Nifty traded at 12,040.60, up by 47.55 points.

An ebb in global crude oil prices and rupee`s rise against the US dollar also influenced the market mood.

During early hours on Tuesday, equity benchmark indices rebounded in line with Asian markets with no new escalation in the Middle East. At 10:15 am, the BSE S&P Sensex gained by 467 points to 41,143 while the Nifty 50 edged higher by 131 points at 12,124.

All sectoral indices were in the positive zone except for Nifty IT which slipped slightly by 0.11 per cent. Nifty PSU bank and realty climbed up by 1.9 per cent each, financial service by 1.7 per cent, metal by 1.6 per cent and pharma by 1 per cent.

Among stocks, metal majors Vedanta and Tata Steel gained by 2.6 per cent and 1.8 per cent respectively while index heavyweight Reliance Industries ticked up by 1.8 per cent. IndusInd Bank moved up by 2.2 per cent, Yes Bank by 2 per cent, HDFC Bank by 1.9 per cent and State bank of India by 1.8 per cent.

Among the other prominent gainers were Zee Entertainment, Bajaj Finserv and Asian Paints, but IT majors had a bad time with Tech Mahindra, Wipro, HCL Technologies and Tata Consultancy Services showing marginal losses.

Asian shares, however, rallied and Wall Street erased early losses to end in the black as tech stocks climbed. MSCI`s broadest index of Asia Pacific shares outside Japan added 0.6 per cent, recouping almost all of Monday`s losses. Japan`s Nikkei gained by 1.3 per cent and Shanghai blue chips advanced by 0.5 per cent.

On Monday, shares had fallen sharply as Iran and the United States traded threats after a US airstrike killed a top Iranian commander.