HDFC, HDFC Bank and ICICI Bank were the biggest boosts to SensexDomestic stock markets jumped to more than seven-month highs on Tuesday, after the government named nominees to the central bank's Monetary Policy Committee.The S-P BSE Sensex index rose as much as 650.06 points - or 1.67 per cent - to touch 39,623.76 in afternoon deals, and the broader NSE Nifty 50 benchmark climbed to as high as 11,680.30, up 176.95 points - or 1.54 per cent - from its previous close.
A strong buying interest in banking and financial services shares pushed the markets higher.The Sensex ended 600.87 points - or 1.54 per cent - higher at 39,574.57, and the Nifty settled at 11,662.65, up 159.30 points - or 1.38 per cent - from its previous close, rising for the fourth session in a row.
That marked the highest closing levels for Sensex and Nifty since February 26 and 27 respectively.Top percentage gainers in the Nifty basket of 50 shares were Tata Motors, HDFC, Adani Ports, Mahindra - Mahindra and IndusInd Bank, ending between 3.32 per cent and 7.73 per cent higher.On the other hand, Britannia, Coal India, Wipro, Hindalco and Tata Steel, settling with losses of between 1.16 per cent and 1.53 per cent, were the worst hit among 13 laggards in the index.HDFC, HDFC Bank and ICICI Bank were the biggest boosts to Sensex.The government named three nominees on the Reserve Bank of India's key Monetary Policy Committee late on Monday, paving the way for the central bank to hold its bi-monthly committee meeting, which has been delayed once.Analysts awaited the outcome of the meeting, due on Friday.
The RBI is widely expected to leave key policy rates unchanged due to high inflation and tumbling growth.Tata Motors shares surged after its UK unit, Jaguar Land Rover, reported a more than 50 per cent rise in retail sales in the September quarter.HDFC Bank climbed to its highest level in nearly five weeks after the private sector lender said its advances rose about 16 per cent as of September30 compared to the corresponding period a year ago."Currently, domestic markets are driven by positive direction from US markets, which are currently driven by dollar movements...
Also, a possible macroeconomic recovery after the coronavirus pandemic is also keeping the markets on a positive territory," said Vivek Bajaj, co-founder of research and analytics platform StockEdge.Global equity markets neared a more than two-week high on Tuesday after US President Donald Trump's return to the White House from hospital where he was treated for COVID-19, and expectations of a new US stimulus package being agreed rose.MSCI's broadest index of Asia-Pacific shares spiked to a two-and-a-half-week high.
The E-Mini S-P 500 futures were up 0.08 per cent, indicating a positive-to-flat opening for Wall Street later in the day, following a1.80 per cent jump in the 500-scrip US benchmark index on Monday.European markets started the day on a positive note, with the United Kingdom's FTSE 100 benchmark index last seen trading 0.26 per cent higher.
While France's CAC 40 barometer was up 0.68 per cent at the time, Germany's DAX 30 was up 0.57 per cent.(With inputs from agencies)