Hopes of faster economic rebound, along with, healthy auto sales data and GST collections lifted India’s equity markets during the pre-noon trade session on Monday.
Initially, the equity markets had a gap up opening due to positive global cues and investors’ optimism over healthy Q1FY21 results.
Sector wise, realty and oil and gas indices have gained the most in early trade.
Consequently, the BSE Sensex traded at 52,946.95 points, at 11.35 a.m., higher by 360.11 points or 0.68 per cent from its previous close.
The Nifty50 on the National Stock Exchange traded at 15,873.40, higher by 110.35 points or 0.70 per cent from its previous close.
“Indian equity market opened gap up and has remained in a range since then. Asian markets recovered from morning lows,” said Deepak Jasani- Head of Retail Research at HDFC Securities.
“Nifty could face resistance at 15,899. Our markets will look at the Asian and European markets later for cues for further rise.”
According to Likhita Chepa, Senior Research Analsyst at CapitalVia Global Research: “Indian benchmark indices started with a gap up after the positivity in global sentiments. Sentiments got the boost as GST collection recovered to a three-month high in July, exceeding Rs 1.1 trillion, as economic activity resumed. Technical indicators also support positivity in the market.”
“If the Delta variant of the corona virus is kept in control, we can expect the economic activities getting back to pre-covid levels very soon.”