
New Delhi: Stock markets rebounded sharply on Tuesday, a day after facing the worst drubbing in 10 months, as benchmark Sensex recouped 1,089 points after across-the-board buying amid a rally in Asian and European markets.
Snapping its three-day decline, the 30-share BSE Sensex jumped 1,089.18 points or 1.49 percent to settle at 74,227.08 with 29 of its components ending in the green. During the day, it climbed 1,721.49 points or 2.35 percent to 74,859.39.
The NSE Nifty surged 374.25 points or 1.69 percent to 22,535.85, snapping the three-day losing run. Intra-day, the benchmark soared 535.6 points or 2.41 percent to 22,697.20.
Sensex tanked 2,226.79 points or 2.95 percent and Nifty tumbled 742.85 points or 3.24 percent, marking their worst single day decline in 10 months as global equity markets went into a tailspin on recession fears after US tariff war.
"Positive global market cues aided massive recovery in local benchmarks, as concerns over US trade tariffs faded a bit on hopes that most of the nations would work out ways to overcome the challenge. With India largely being a consumption-led economy, the US tariff impact may not hurt the country in a major way when compared to some of the other nations," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.
All Sensex firms, except Power Grid, ended in the positive territory. Titan, Bajaj Finance, State Bank of India, Larsen & Toubro, Axis Bank, Bajaj Finserv, Asian Paints and Zomato were the biggest gainers.
World markets also staged a comeback after Monday's collapse.
In Asian markets, Tokyo's Nikkei 225 index, Hong Kong's Hang Seng, Shanghai SSE Composite index and South Korea's Kospi settled in the positive territory after falling sharply on Monday. Nikkei 225 index jumped 6 percent.
European markets were quoting higher. US markets ended mostly lower on Monday.
The BSE smallcap gauge jumped 2.18 percent and midcap index surged 1.87 percent.
All BSE sectoral indices ended higher.
Oil & Gas index jumped the most by 2.58 percent, followed by consumer durables (2.38 percent), telecommunication (2.32 percent), industrials (2.04 percent), energy (2.03 percent), consumer discretionary (2.02 percent), teck (1.97 percent), healthcare (1.94 percent) and IT (1.77 percent).
As many as 3,093 stocks advanced while 871 declined and 119 remained unchanged on the BSE.
"Following positive global cues, led by the interest of many nations to enter into bilateral agreements with the US, the domestic market witnessed a recovery," Vinod Nair, Head of Research, Geojit Investments Limited, said.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 9,040.01 crore on Monday, while Domestic Institutional Investors (DIIs) bought shares worth Rs 12,122.45 crore, according to exchange data.
Global oil benchmark Brent crude climbed 0.22 percent to USD 64.35 a barrel.
Benchmark indices Sensex and Nifty logged their worst single-day decline in 10 months on Monday, as fears that Trump's policies on reciprocal tariffs may lead to recession and higher inflation in the US going ahead unnerved investors.
(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)