JOIN USAided by data that indicated an increase in manufacturing activities in the country, and gains in banking stocks, benchmark indices zoomed over 1 per cent on the second trading day of the new year.
While the Sensex ended 380.36 points higher at 27887.90, the Nifty closed 111.45 points higher at 8395.45.
“Markets rallied on Friday on the back of a positive sentiment that emerged from the 2-year-high HSBC manufacturing PMI which came in at 54.5. The surge in PMI indicated that the industrial activity has picked up in December, also expectations of cooling inflation in December further made strong case for rate cut,” WealthRays Securities Director and CEO Kiran Kumar Kavikondala said.
Banking stocks gained in trading on Friday, as faster reforms were seen in the sector as a two-day meet titled Gyan Sangam in Pune is likely to deliberate on what should be done by the banks as well as the government to improve and consolidate the position of public sector banks.
Advances outperformed declines on the Nifty with 43 stocks advancing and 7 stocks declining on the Nifty. HDFC was the biggest gainer on the Nifty, up 4.19 per cent to Rs 1171.05 with volumes of 20.19 lakh shares.
BPCL was the biggest loser on the Nifty, down 1.14 per cent to Rs 646.75 with volumes of 10.23 lakh shares. M&M closed 1.1 per cent lower at Rs 1,223.40 after disappointing sales numbers for the month of December. Other losers included NMDC (down 0.57 per cent), RIL (down 0.33 per cent) and Bajaj Auto (down 0.25 per cent).
Technicals indicate that Friday’s uptrend is likely to continue for the markets.