Mumbai, February 25: Benchmark equity indices Sensex and Nifty rallied sharply in early trade on Wednesday, recovering from the steep losses recorded in the previous session, as investors returned to information technology stocks amid supportive global cues.
Sensex Jumps Over 550 Points; Nifty Reclaims 25,580
The 30 share BSE Sensex surged 558.79 points to 82,784.71 during the early trading session. The broader NSE Nifty advanced 157.05 points to 25,581.70.The rebound comes a day after both indices witnessed a sharp correction, reflecting renewed buying interest at lower levels.
IT Stocks Drive Market Gains
Gains were largely led by IT counters, which had come under heavy pressure on Tuesday amid concerns surrounding artificial intelligence driven disruption.From the Sensex pack, Tech Mahindra, HCL Tech, Tata Consultancy Services, Infosys, Power Grid, and InterGlobe Aviation emerged as the top gainers in early trade.
The BSE IT index climbed 2.08 per cent to 29,850.09, reflecting strong recovery momentum in the sector.
On the other hand, State Bank of India, Bajaj Finance, Asian Paints, and Maruti Suzuki were among the laggards.
Asian Markets Rally; US Closes Higher
Asian equities mirrored the positive trend. South Korea’s Kospi, Shanghai’s SSE Composite index, Japan’s Nikkei 225, and Hong Kong’s Hang Seng index were trading significantly higher.The US markets also ended in the green on Tuesday, providing supportive global cues to domestic equities.
FII Outflows Continue; DIIs Provide Support
According to exchange data, Foreign Institutional Investors offloaded equities worth Rs 102.53 crore on Tuesday. In contrast, Domestic Institutional Investors remained net buyers, purchasing stocks worth Rs 3,161.22 crore.Brent Crude Edges Higher
Brent Crude, the global oil benchmark, rose 0.76 per cent to USD 71.31 per barrel in early trade.Recap: Sharp Fall in Previous Session
On Tuesday, the Sensex had plunged 1,068.74 points or 1.28 per cent to settle at 82,225.92. The Nifty had declined 288.35 points or 1.12 per cent to close at 25,424.65.The early recovery on Wednesday signals renewed buying interest, particularly in IT stocks, after the sharp correction in the previous session.
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