The stock markets opened in green on Wednesday. Sensex and Nifty opened higher led by gains in banks, auto and IT stocks. Midcap and smallcap indices traded half a percent higher each. All the sectoral indices were trading in the green.
At 09:16 IST, the Sensex was up 238.60 points or 0.49% at 49182.74, and the Nifty was up 70.30 points or 0.48% at 14723.30. About 1142 shares have advanced, 242 shares declined, and 55 shares are unchanged.
In the previous session, Sensex ended 557.63 points or 1.15 percent higher at 48,944.14, and Nifty surged 168.05 points or 1.16 percent to 14,653.05.
The markets are still looking strong over 14,650 and can be seen at levels of 14,850 in the coming days. Mohit Nigam Head PMS, Hem Securities, said, the market seems to open on a flattish note, with holding levels of 14,650. The vaccine optimism and the Q4 results are repeatedly giving strength to the market momentum. Axis Bank posting a profit of 2,677 crores in Q4 with improved asset quality and Bajaj Finance Net profits rising by 42 percent YoY basis are just a few examples.
Bajaj Finance was the top gainer in the Sensex pack, rising around 3 per cent, followed by Bajaj Finserv, Bajaj Auto, SBI, IndusInd Bank, M&M, Bharti Airtel, HDFC twins, Kotak Bank and Infosys.
On the other hand, UltraTech Cement, Reliance Industries and Maruti were among the laggards.
Foreign institutional investors (FIIs) were net sellers in the capital market as they offloaded shares worth Rs 1,454.75 crore on Tuesday, while domestic institutional investors (DIIs) bought shares worth Rs 1,463.44 crore, according to provisional exchange data.
According to V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, there are some consistent trends in the market now.
"One, despite the bad news on the COVID front, the market has been maintaining the upside momentum. Two, FIIs have been consistent sellers (above Rs 10,000 crore in April, so far) and DIIs have been consistent buyers. These trends are likely to continue in the short run and markets are likely to remain strong," he said.
It appears that markets are looking into the post-second wave scenario which is likely to emerge in May, he noted, adding that global support to markets continues with positive economic data from the US. The FOMC comment expected later in the day is likely to reaffirm the US Fed's accommodative stance, imparting further resilience to markets.
“Meanwhile, Q4 results continue to be good. Axis Bank's numbers confirm the trend of leading private sector banks growing their market share. Early bird midcap results are much better than expected. Midcaps are likely to outperform in the coming days," he said.
Elsewhere in Asia, bourses in Hong Kong and Tokyo were trading on a positive note in mid-session deals, while Shanghai and Seoul were in the red.
Bourses on Wall Street ended with losses in overnight sessions.
Meanwhile, international oil benchmark Brent crude was trading 0.09 per cent lower at USD 65.82 per barrel