Third spike in a row lifts Sensex to almost 45-day high

RECOVERY PATH: The 30-share Sensex hit 80,845.75, 0.74% or almost 598 points over Monday’s close.

The Indian markets continued to rebound for the third straight day on Tuesday, after a weak streak in recent weeks, lifting the benchmark BSE Sensex to the highest level in about a month and a half, and the Nifty to about a month-high.

The 50-stock Nifty rose 0.75% or 181.1 points to close at 24,457.15 points, while the 30-share Sensex hit 80,845.75, 0.74% or almost 598 points over Monday’s close. The last time the Sensex closed above this level was on October 21. 41 Nifty stocks surged on Tuesday, while 25 Sensex stocks advanced, led by Adani Ports and SEZ that jumped 6%, NTPC (up 2.6%), as well as Larsen & Toubro and State Bank of India, both of which rose 2.12% each.

“Cash market volumes on the NSE rose 16% to ₹1.15 lakh crore and the broader market indices rose more than the Nifty even as the advance decline ratio rose to 2.8:1,” remarked Deepak Jasani, head of retail research at HDFC Securities.

Market observers’ hopes that China will unveil fresh measures to boost the world’s number two economy following reports that authorities will hold a key meeting next week even as the yuan fell to a one-year low vs the US Dollar, also played a part in Asian markets’ uptick, Mr. Jasani noted.