Mumbai: The equity markets rallied higher on Thursday tracking gains in global stocks after as US Federal Reserve chairman’s comments about a gradual hike in interest rates buoyed sentiments. The continuing slide in global oil prices and the resultant strength in the Indian rupee also helped the markets to maintain their winning momentum.
The Sensex gained 453.46 points or 1.26 per cent while the broader Nifty ended the day at 10858.70, up 129.85 points or 1.21 per cent.
Interestingly, Nifty’s gain of over 7 per cent during the November derivative series is the highest since March 2016.
“Recently, traders were extremely skeptical about Nifty crossing its resistance zone of 10,750 — 10,800. On Thursday, massive bump at the opening resulted in breaking this multiple resistance zone with an authority; courtesy to gigantic overnight rally in US bourses. And there couldn’t have been better end to it as we saw Nifty surpassing its resistance zone with an authority and thereby removing some ambiguity about the near term direction,” said Sameet Chavan, chief technical analyst at Angel Broking.
Meanwhile, the rupee gained further ground against the dollar and managed to close below the 70 level mark against the dollar for the first time in last three months.
The partially convertible rupee closed the session at 69.85 a dollar as against its previous sessions close of 70.62. It has gained 6 per cent from its record low of 74.48 a dollar recorded on October 11, 2018.
