Sensex snaps back after 2-day fall, metal stocks rebound

Mumbai: Supported by FMCG and metal stocks, Indian markets logged gains on Wednesday after two days of declines. However, investors globally continue to fret over the fast-spreading coronavirus which could hurt global growth.

The death toll in China due to the novel coronavirus increased to 132 on Wednesday, with 5,974 confirmed cases, as foreign governments started to evacuate their citizens from Wuhan city, the epicenter of the outbreak.

On the bourses, Bajaj Finance was the top gainer gaining 5 percent after it reported a 52 percent jump in consolidated net profit for the third quarter ended December 31, driven by strong growth in net interest income and loan growth.

Vinod Nair of Geojit Financial Services said that recovery in the global market due to a drop in epidemic concern and likely dovish stance from Federal Open Market Committee is providing relief to the domestic market.

The benchmark Sensex closed at 41,198.66, up by 231.80 points while the broader Nifty settled at 12,129.50, up 73.70 points.

“Though the significance of budget on the market may have reduced during the decade, this time, the importance is substantial due to very high expectations. The budget will be a blockbuster even if a decent part of wish-list is fulfilled, the event-risk is high this time,” Nair added.

Siddhartha Khemka of Motilal Oswal Financial Service said that the concerns over the deadly coronavirus continue to linger. Oil prices rose after a report that the oil-producing nations wants to extend crude output cuts by three months to June, easing concern about excess supplies. (IANS)

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