Mumbai, April 11 (IANS) Short-covering, along with value buying and positive global cues, buoyed the Indian equity markets on Monday.
Consequently, key indices of the Indian equity markets provisionally closed in the green.
The wider 50-scrip Nifty of the National Stock Exchange (NSE) ended the day’s trade higher by 116.20 points or 1.54 percent, to 7,671.40 points.
The barometer 30-scrip sensitive index (Sensex) of the BSE, which opened at 24,789.40 points, provisionally closed at 25,022.16 points (at 3.30 p.m.) — up 348.32 points or 1.41 percent from the previous close at 24,673.84 points.
The Sensex touched a high of 25,049.92 points and a low of 24,523.20 points during the intra-day trade.
The BSE market breadth was tilted in favour of bulls — with 1,471 advances and 1,113 declines.
The barometer index had closed flat on Friday. It inched down by 12 points or 0.05 percent.
On Monday, both the key indices opened on a firm note, on the back of a rebound in global crude oil prices and positive Chinese markets.
Further, value buying which triggered short-covering after last week’s correction lifted prices.
Last week, the barometer index had plunged by 596 points or 2.35 percent. Similarly, the NSE Nifty had receded by 157.85 points or 2.04 percent.
However, the initial gains were ceded as unwinding of long positions ahead of the fourth quarter (Q4) results season dented sentiments.
The Q4 results season started from April 8. Infosys is expected to be the first bluechip firm to come out with its results on April 15.
Besides, caution ahead of key global and domestic macro-economic data deterred investors’ from chasing prices.
The week ahead will disclose global macro-economic data, such as the March inflation figures from China, European countries and the US.
In addition, the domestic macro-economic data will start from April 12, with the release of the Index of Industrial Production (IIP) and retail inflation (Consumer Price Index) figures.
“Value buying ahead of the Q4 results, had triggered short-covering which lifted prices. Firm global crude oil prices and positive European and Chinese indices, too, supported the equity markets’ rise,” Anand James, chief market strategist, Geojit BNP Paribas Financial Services, told IANS.
“However, caution ahead of the Q4 results and the macro-economic data dented sentiments.”