Equity indices up on positive global cues, metal stocks shine
Mumbai: Equity benchmark indices edged higher during early hours on Thursday on the back of favorable global cues amid optimism over economic recovery and the government's privatization plans. At 10:15 am, the BSE S&P Sensex was up by 414 points or 0.82 percent at 51,196 while the Nifty 50 ticked up by 142 points or 0.9 percent to 15,124.
All sectoral indices at the National Stock Exchange were in the positive terrain with Nifty metal gaining by 2.6 percent, private bank by 1.8 percent, and IT by 1.4 percent. Among stocks, Hindalco was up by 4.7 percent to Rs 348.55 per share while Tata Steel advanced by 2.4 percent to Rs 745.50 and JSW Steel by 2.2 percent to Rs 416.80. Axis Bank was up by 3.5 percent, IndusInd Bank by 3.4 percent, Tata Consultancy Services by 2.7 percent, and Dr. Reddy's by 2.4 percent.
However, FMCG stocks did not fare well with Nestle India down by 1 percent. Hindustan Unilever, Britannia, Titan, Eicher Motors, and Mahindra & Mahindra were also in the negative zone.
Meanwhile, Asian stocks jumped after US Federal Reserve Chair Jerome Powell reaffirmed interest rates will stay low for a long time. That calmed market fears that higher inflation may prompt the central bank to tighten the monetary spigot. MSCI's ex-Japan Asia Pacific shares index rose by 1 percent while Japan's Nikkei gained by 1.6 percent.
Hong Kong's Hang Seng jumped by 1.8 percent to pare more than half of its previous day's losses following the announcement of a stamp duty hike.
