In a mind-blowing surge, Sensex on Tuesday registered biggest ever gains of 879 points in absolute term as the market regulator allowed sub-accounts of FIIs.
The stock markets spiralled upwards after opening with a wide gap of 296.31 points to welcome a decision of Sebi to allow proprietary sub-accounts of FIIs to apply for a full licence, if these are used for their own trading and to put registration of FIIs on a fast track.
The Bombay Stock Exchange barometer ended at 18,492.84, a net rise of 878.85 or 4.99 per cent over Monday’s close of 17,613.99.
The broader S&P CNX Nifty of the National Stock Exchange (NSE) soared by 289.70 points or 5.59 per cent to close at 5,473.70 from previous close of 5,184.00.
The strongest bounce was credited to hectic shortcovering by domestic operators ahead of the expiry of October series on Thursday. FIIs seemed cautious even after Sebi’s steps to assuage FII concerns over the PN restrictions, market players said.
