Mumbai: Indian stock markets closed sharply higher on Thursday, extending gains for the second straight session as investors bought pharma, healthcare, metal and banking shares amid expectations of policy support measures to stabilise the rupee and improve investor confidence.
The BSE Sensex ended at 75,398.72, gaining 789.74 points or 1.06 percent, while the NSE Nifty closed 277 points or 1.18 percent higher at 23,689.60.
During the trading session, Sensex surged over 1,073 points to hit an intraday high of 75,681.88. Similarly, Nifty climbed as much as 364 points to touch 23,777.20. However, markets were volatile in early trade due to weakness in the rupee and rising crude oil prices.
Pharma, Metal And Banking Stocks Lead Rally
Among sectoral indices, Nifty Pharma emerged as the top performer, rising 2.74 percent, while the Nifty Healthcare index gained 2.56 percent. Metal shares also saw strong buying, with the Nifty Metal index climbing 2.04 percent.
Banking stocks added support to the rally. The Nifty PSU Bank index advanced 1.37 percent, while the Nifty Private Bank index rose 1.16 percent. Market experts said investors shifted towards defensive sectors like pharma and healthcare due to global uncertainty.
Metal stocks also gained momentum following firm global commodity prices and hopes of improving demand from China.
IT Stocks Under Pressure
Despite the strong market rally, IT stocks remained weak. The Nifty IT index fell nearly 2 percent during the session.
Major technology companies such as HCL Tech, Infosys, Tata Consultancy Services (TCS) and Tech Mahindra witnessed selling pressure as investors stayed cautious on the sector.
Analysts said overall market sentiment improved after reports suggested the government may consider measures to support the rupee and attract foreign investments. Possible steps include easing tax rules for foreign bond investors and tightening overseas remittance norms to reduce capital outflows.
Meanwhile, the rupee remained highly volatile and moved between 95.95 and 95.60 against the US dollar during the session.
