Sensex rises 455 pts to end at over week's high on early monsoon, easing trade worries
Mumbai, May 26 (PTI): Benchmark Sensex on Monday advanced by 455 points to close at over a week's high due to buying in auto and IT shares following positive macro factors and easing trade worries as US President Donald Trump delayed 50 per cent EU tariffs to July 9.
Rising for the second session, the 30-share BSE Sensex jumped 455.37 points or 0.56 per cent to settle at 82,176.45. During the day, it surged 771.16 points or 0.94 per cent to 82,492.24.
The NSE Nifty climbed 148 points or 0.60 per cent to settle at 25,001.15, a level not seen since May 16.
The early arrival of monsoon and the Reserve Bank announcing a record Rs 2.69 lakh crore dividend to the government for FY25 also added to the optimistic trend in the markets, experts said.
Among Sensex stocks, leading tractor and auto manufacturer Mahindra & Mahindra rose the most by 2.17 per cent. HCL Tech, Tata Motors, Nestle, ITC, Hindustan Unilever, Larsen & Toubro, and Tech Mahindra were the major gainers.
In contrast, Eternal, UltraTech Cement, Power Grid, Tata Steel and Kotak Mahindra Bank were among the laggards. Eternal dropped the most by 4.51 per cent.
India has become the fourth largest economy in the world, overtaking Japan, NITI Aayog CEO BVR Subrahmanyam has said.
The Reserve Bank on Friday announced a record Rs 2.69 lakh crore dividend to the government for FY25, 27.4 per cent higher than 2023-24, helping the exchequer to tide over challenges posed by US tariffs and increased spending on defence due to the conflict with Pakistan.
"The US decision to consider extending the deadline for imposing aggressive tariffs on EU, coupled with a decline in the dollar index, contributed to a rebound in the domestic equity markets. These developments suggest that trade negotiations are progressing constructively, which could help moderate market volatility.
"Additionally, the early onset of the southwest monsoon and a decline in domestic bond yields have encouraged investors to maintain their focus on riskier assets," Vinod Nair, Head of Research, Geojit Investments Limited, said.
"Although the market pared most of its early gains, benchmark indices closed above their key psychological levels on steady all-round buying support due to optimism in European indices and mixed Asian cues," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.
The BSE midcap gauge climbed 0.56 per cent and smallcap index went up by 0.48 per cent.
Among sectoral indices, auto jumped 1.04 per cent, BSE Focused IT (1.04 per cent), FMCG (0.93 per cent), industrials (0.98 per cent), IT (0.95 per cent), capital goods (0.91 per cent), teck (0.88 per cent) and oil & gas (0.67 per cent).
Services emerged as the only laggard.
As many as 2,301 stocks advanced while 1,772 declined and 194 remained unchanged on the BSE.
In Asian markets, South Korea's Kospi and Japan's Nikkei 225 index settled in the positive territory, while Shanghai's SSE Composite index and Hong Kong's Hang Seng ended lower.
Markets in Europe were trading higher in mid-session deals.
US markets ended lower on Friday.
Foreign Institutional Investors (FIIs) bought equities worth Rs 1,794.59 crore on Friday, according to exchange data.
The southwest monsoon hit Kerala on Saturday, marking its earliest arrival over the Indian mainland since 2009 when it reached the southern state on May 23, the India Meteorological Department (IMD) said.
Global oil benchmark Brent crude climbed 0.17 per cent to USD 64.89 a barrel.
On Friday, the 30-share BSE benchmark surged 769.09 points or 0.95 per cent to settle at 81,721.08. The Nifty rallied 243.45 points or 0.99 per cent to 24,853.15.
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Inappropriate for MLAs seeking free IPL tickets, says D.K. Suresh
Bengaluru: Bengaluru Milk Union Ltd President D.K. Suresh on Monday said it is inappropriate for MLAs to seek free IPL tickets, adding that those interested in watching matches should pay for them personally.
Speaking to reporters near his residence in Sadashivanagar, he said, “IPL is a commercial tournament and does not represent the country. It is not right for public representatives to focus too much on such matters.”
Referring to the recent controversy during the RCB celebrations, he said, “let us find out who benefited the most from the statements made during the incident.” He also pointed out that BJP MLAs had received IPL tickets as well.
Responding to discussions about relocating the Chinnaswamy Stadium, Suresh said the government has already approved the construction of a new stadium at a location he had proposed.
“I had suggested building a stadium in Surya City and submitted a proposal for it. Bengaluru needs four stadiums in four directions to cater to its growing population and encourage youth participation in sports,” he said.
He noted that apart from Kanteerava Stadium, KSCA, and the Football Stadium, there are limited facilities in the city.
“When I was a Lok Sabha member, I had proposed allocating 100 acres in my constituency at Surya City. The land was later earmarked and the plan approved,” he added.
Suresh said he has discussed the project with Minister Zameer Ahmed Khan, Rajiv Gandhi Housing Corporation Chairman Shivalingegowda, and Anekal MLA Shivanna.
“The Cabinet has now approved the project, and a stadium will be developed on around 50–60 acres,” he said.
He further added that he has requested the Deputy Chief Minister to build another stadium at Shivarama Karanth Layout through the BDA, where 40 acres have been allocated. Plans are also being discussed to develop a well-equipped stadium in Bidadi.
Commending state government's recent bilingual policy move, Suresh said forcing children to learn three languages could affect their comprehension.
“It is a good decision to make two languages compulsory. Learning a third language should be left to the choice of students and parents,” he said.
Responding to criticism from BJP leaders, he said their tendency is to oppose every decision of the government.
“To please their central leadership, they take a pro-Hindi stance. Instead, they should advocate for the adoption of Kannada in all states,” he said.
When asked about the earlier three-language policy under Congress, he said, “the situation is different now. Today, the focus should be on quality learning. Kannada should remain the primary language, while students and parents can choose an additional language.”
