Mumbai, India (BBN) – The Sensex and Nifty were trading higher by nearly 0.4 per cent due to covering-up of pending short positions by investors ahead of the March derivatives contract expiry tomorrow.
The rupee strengthened to a 17-month high of 64.95 against the dollar, which helped improve the risk appetite, reports The Hindu Business Line.
Traders said increased buying by retail investors coupled with sustained foreign fund inflows and covering-up of outstanding short positions ahead of the March derivatives expiry boosted the domestic sentiment.
At 11.45am, the 30-share BSE index Sensex was up 113.80 points or 0.39 per cent at 29,523.32 and the 50-share NSE index Nifty was up 31.9 points or 0.35 per cent at 9,132.70.
Barring oil & gas and IT, all other BSE sectoral indices were trading in the positive zone. Among them, capital goods index gained the most by 0.8 per cent, infrastructure 0.6 per cent, metal 0.42 per cent and banking 0.37 per cent, while oil & gas index was down 0.37 per cent and IT 0.02 per cent.
Top five Sensex gainers were Asian Paints (+1.48 per cent), L&T (+1.25 per cent), Axis Bank (+1.25 per cent), State Bank of India (+1.1 per cent) and Bharti Airtel (+0.84 per cent), while the major losers were (-0.97 per cent), Wipro (-0.6 per cent), Reliance (-0.37 per cent), M&M (-0.36 per cent) and Dr Reddy’s (-0.22 per cent).
The BSE 30-share barometer advanced 84.92 points or 0.28 per cent to 29,494.44.
The gauge had gained 172.37 points in the previous session on the back of upbeat global cues on renewed optimism of tax reforms in the US and continued foreign inflows.
The NSE Nifty also rose 33.25 points or 0.36 per cent to 9,134.05.
Asian shares inched ahead, while the dollar and commodities held gains as investors shook off disappointment about US President Donald Trump’s failed healthcare Bill and focussed on an improving outlook for global growth.
The good cheer did not extend to the pound which was on the skids as the British government sent a letter to Brussels formally starting the country’s exit from the European Union.