NEW DELHI: A surge in private banking stocks along with gains at FMCG counters made benchmark Sensex end higher for fourth straight day.The BSE flagship settled up by 232 points, or 0.64 per cent, at 36,213.
Its NSE counterpart Nifty too extended its winning streak to fourth day, jumping 53 points, or 0.49 per cent, to 10,855.
Optimism in global markets on back of a possible trade truce between US and China did trick.
There was some midsession scare as indices wiped out gains at one point following a drop in oil and energy stocks, given a 2 per cent rise in crude prices.
But there was no further damage as stocks got their rhythm back.On 30-share index, Axis Bank led rally (up 2.94 per cent), followed by ITC, Tata Motors, Bharti Airtel and HDFC.IndusInd Bank shares rose 1.47 per cent to Rs 1,600.80 per scrip after private lender posted a 5 per cent rise in Q3 profit on a YoY basis.Meanwhile, YES Bank was biggest drag, declining 3.07 per cent.
The shares took a beating after two block deals ahead of its board meeting when name of new MD and CEO is expected to be announced.
Tata Steel, Hero MotoCorp, Bajaj Finance, ONGC and NTPC were among other losers of Sensex kitty.In sectoral space, oil and gas index bled most as crude oil prices hardened by 2 per cent on Wednesday.
Barring RIL and OIL that logged marginal gains, all other constituents ended in red.
GAIL, Hindustan Petroleum, BPCL were worst hit in oil gas space, shedding 3 per cent each.Utilities, metals and basic materials index too declined.
However, FMCG, finance, healthcare, bankex and auto turned out to be lead sectoral gainers.BSE Midcap and Smallcap indices underperformed Sensex, settling 0.04 and 0.17 per cent lower, respectively.Let's look at market factors today.1.
Rally in global marketsWorld stocks extended their gains to hit a near-four week high and oil prices rose on Wednesday on optimism that United States and China may be inching towards a trade deal, soothing fears that an all-out trade war could hit a slowing global economy, Reuters reported.MSCI's all-country index sailed 0.4 per cent higher in fourth straight day of gains.2.
US, China to smoke peace pipeHopes of a positive outcome from US-China trade talks boosted risk sentiment.
China's foreign ministry said talks with United States have concluded and results would be released soon.3.
Rise in private bank stocksPrivate bank stocks rose in today's session, lifting key benchmark indices on expectations of better than expected Q3 results.
IndusInd Bank on Wednesday reported a 5 per cent rises in Q3 profit on a YoY basis at Rs 985 crore, beating Street estimates.Expert-take:Viral Berawala, CIO, Essel Mutual FundTracking positive cues in anticipation of US-China trade issues getting settled, Indian indices opened strong for 4th consecutive day.
But they lost all gains during day as oil stocks lost momentum due to sharp rise in oil prices seen in past few days.
Defensives sectors like pharma and IT displayed strength.