Published: Thu, February 15, 2018
Finance | By Loren Pratt

Equity indices surge on global cues; banks, IT stocks gain

Equity indices surge on global cues; banks, IT stocks gain

Sensex jumped a high of 34,535 on Thursday and fell to a low of 34,194.67 against the previous session's closing of 34,155.95 points. Punjab National Bank tumbled 9.8% after saying it detected fraudulent and unauthorized transactions of $1.77 billion in one of its branches in Mumbai, and the matter has been referred to law enforcement agencies.

In the broader market, the BSE Midcap and the BSE Smallcap indices fell 0.14% and 0.50%, respectively.

On the contrary, Indiabulls Housing Finance, Asian Paints and Aurobindo Pharma were among the top losers in the Nifty pack of stocks.

The BSE market breadth was however bearish as 1,618 stocks declined as against 1,072 advances.

The NSE index Nifty climbed 41.50 points, or 0.39 percent, to 10,581.25.

Among gainers, Nifty IT index rose almost a percent after falling 4.3 percent this month, as of Monday's close.

The benchmark BSE Sensex gained 173 points to 34,473.43 in early trade today, rising for the second straight session on back of positive macroeconomic data and sustained buying by domestic institutional investors (DIIs) amid appreciating rupee. The IDFC Bank stock closed unchanged.

Overseas, Asian stocks gained taking cues from the rally on Wall Street overnight following the release of stronger-than-expected U.S. inflation data. France CAC, Germany DAX and Britain FTSE were up 0.6-1 percent at the time of writing this article.

While latest consumer inflation data, which showed prices in December had eased from a 17-month high failed to have much impact on banks, it is largely seen as positive for lenders who stand to gain from their government bond holdings. Financials were among the big gainers as US Treasury yields hit fresh multiyear highs Wednesday.

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