Stock market today: Stock markets surged by more than 1 per cent on Wednesday, with the benchmark BSE Sensex rising 901 points due to substantial investments in IT and pharmaceutical sectors, coinciding with Donald Trump‘s anticipated victory in the US presidential elections.
The BSE Sensex continued its upward trend for the second consecutive day, climbing 901.50 points or 1.13 per cent to reach 80,378.13. During trading hours, it reached a peak of 80,569.73, up by 1,093.1 points or 1.37 per cent.
The NSE Nifty advanced by 270.75 points or 1.12 per cent, concluding at 24,484.05.
In the 30-share Sensex composition, Tata Consultancy Services and Infosys led with gains exceeding 4 per cent each. Other significant gainers included HCL Technologies, Tech Mahindra, Adani Ports, Larsen & Toubro, Maruti and Reliance Industries.
The underperformers were Titan, IndusInd Bank, Hindustan Unilever, Axis Bank and HDFC Bank.
“Global markets experienced a relief rally following the US election results, reducing political uncertainty with Trump securing a strong mandate. This has led to strong risk-on sentiments, driven by expectations of tax cuts and increased government spending,” Vinod Nair, Head of Research at Geojit Financial Services said.
The domestic market witnessed widespread buying, particularly in the IT sector, anticipating increased IT expenditure in the US.
“BFSI spending in the US has improved as per the IT Q2 result which is positive for Indian players,” Nair added.
In Asian markets, Tokyo showed gains while Seoul, Shanghai and Hong Kong declined.
European markets traded positively. Wall Street recorded substantial gains on Tuesday.
The global oil benchmark Brent crude decreased by 2 per cent to USD 74.02 per barrel.
Foreign Institutional Investors (FIIs) sold equities worth Rs 2,569.41 crore on Tuesday, whilst Domestic Institutional Investors (DIIs) purchased shares valued at Rs 3,030.96 crore, according to exchange data.
