Sensex bounces back by 617 pts on slew of positive factors

Tags: Stock Market
The benchmark BSE Sensex recovered by 617 points during the week on fresh buying mainly in capital goods, metal, banking and power sectors on easing of infrastructure financing norms by the RBI coupled with easing of inflation.

The decline in prices provided space for the Reserve Bank to cut interest rates in next month's policy review to revive economic growth.

Retail inflation in June touched its lowest at 7.31 per cent since January 2012 and the wholesale Price Index slid to four-month low of 5.43 per cent mainly on easing of vegetables prices.

The apex bank eased financing norms for infrastructure development and affordable housing, exempting long-term bonds from mandatory regulatory norms like CRR and SLR if the money raised is used for funding of such projects, which boosted the shares from interest rates related segments.

Metal and mining counters too were in demand after a report showed that China's economy expanded in second quarter.

Revival of monsoon amid growth in merchandise exports in June 2014 and fall in global crude oil prices also kept the market tempo upbeat.

Country's exports grew by 10.22 per cent in June this year while imports rose by 8.33 per cent.

The Sensex open higher at 25,093.16 and hovered in a wide range of 24,892.00 and 25,713.40 before settling the week at 25,641.56, disclosing a sharp gain of 617.21 points or 2.47 per cent.

The CNX 50-share Nifty also rose by 204.30 points or 2.74 per cent to end at 7,663.90.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • India’s festivals teach us to share our wealth and joy

    India is an aporia in its own true sense.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Tushar Gandhi

Sustainable model for rural sanitation

Prime minister Narendra Modi has promised to build a toilet ...

Zehra Naqvi

How smells evoke strong memories

Remember that time when a passing fragrance transported you to ...

Dharmendra Khandal

Indian zoos need a fresh approach

Recently, when a man jumped in a tiger trench of ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture