Sensex jumps nearly 300 points in early trade

Mumbai: Equity benchmark Sensex jumped nearly 300 points in opening trade on Monday, tracking gains in index majors ITC, Infosys and ICICI Bank as investors cheered domestic COVID-19 vaccine approvals.

The 30-share BSE index touched its lifetime intra-day high of 48,168.22 in early trade. It was trading 272.73 points or 0.57 per cent higher at 48,141.71, and the broader NSE Nifty surged 90.90 points or 0.65 per cent to a record high of 14,109.40.

TCS was the top gainer in the Sensex pack, rising around 2 per cent, followed by ONGC, SBI, L&T, Infosys, HCL Tech, ICICI Bank and Axis Bank.

On the other hand, HDFC, Asian Paints and Reliance Industries were among the laggards.

In the previous session, Sensex rose by 117.65 points or 0.25 per cent to close at a fresh lifetime-high of 47,868.98, while Nifty closed at an all-time high of 14,018.50.

Foreign portfolio investors (FPIs) were net buyers in the capital market as they purchased shares worth Rs 506.21 crore on a net basis on Friday, according to provisional exchange



data.

Domestic equities continue to look firm. Strong economic key data in terms of GST collections, power demand and railway freight for December 2020 will continue to offer strength to the market, said Binod Modi Head-Strategy at Reliance Securities.

Additionally, final approval for two COVID-19 vaccines and likely commencement of the inoculation process soon are positive for the markets and economy.

"Positive FPI flows are expected to sustain in subsequent weeks. Further, DIIs turning net buyers on Friday was also a positive indication for the market. 3QFY21 earnings and Union Budget will be crucial events for the market in the near term, which will offer clarity about the sustainability of demand momentum," he stated.

Elsewhere in Asia, bourses in Shanghai, Seoul and Hong Kong were trading on a positive note in mid-session deals, while Tokyo was in the red.

Meanwhile, the global oil benchmark, Brent crude futures, were trading 0.98 per cent higher at USD 52.31 per barrel.