Broad Based Relief Rally in Market After Three Day Decline

 Mumbai: Stock market recovered partially gaining more than a per cent on positive global cues. The Sensex gained 874.94 points or 1.11 per cent to close at 79,468 while Nifty-50 gained 304.95 points or 1.27 per cent closing at 24,297.50.

Mid-cap and small-cap stocks outperformed the large caps, the BSE Mid-cap index gained 2.63 per cent while BSE Small-cap index gained 2.39 per cent.

However, domestic market is witnessing continued selling by foreign investors and On Wednesday too foreign portfolio investors were net sellers by Rs 3,314.76 crore while domestic institutions were net buyers by Rs3,801.21 crore.

"Broad-based buying brought back smiles after recent portfolio slaughter. Despite this, key indices showed little traction post-opening, with traders seemingly opting to keep positions light ahead of the key RBI policy announcement," said Rajesh Bhosale, equity technical analyst, Angel One.

All sectoral indices registered healthy gains Oil & gas(3.75 per cent), Meta(3.44 per cent), Capital Goods(2.89 per cent), Telecom(2.80 per cent) were top gainers.

Volatility index NSE's India VIX fell 13.72 per cent to 16.17 per cent indicating lesser volatility in near future.

"After three days of decline, Nifty witnessed a good recovery and traded in positive territory throughout the session. Global factors & headwinds are likely to persist which could continue to impact Indian markets over the next few days. Nifty saw a relief rally on Wednesday, but volatility cannot be ruled out. All eyes will be on RBI policy outcome on Thursday where the committee is expected to maintain the interest rate.Hence, interest-sensitive sectors and stocks would be in focus," said Siddhartha Khemka, head - Retail Research, Motilal Oswal Financial Services.