Sensex Jumps Over 100 Points Amid Volatile Trade, Nifty Tops 17,250

IndusInd Bank was the top gainer in the Sensex pack, rising around 2 per cent, followed by Dr Reddy’s, ICICI Bank, Sun Pharma, Reliance Industries, and Axis Bank

During early morning trade, Sensex and Nifty remained volatile as caution prevailed among investors globally amid concerns about the Omicron variant of Covid-19. Image: Getty

New Delhi: Sensex, key domestic equity benchmark, jumped over 100 points in early trade on Wednesday, tracking gains in index-heavyweights Reliance Industries, ICICI Bank, and Axis Bank.

The 30-share index was trading 104.31 points higher at 58,001.79 in opening trade, while the Nifty rose 28.45 points to 17,261.70.

During early morning trade, both the indices remained volatile as caution prevailed among investors globally amid concerns about the Omicron variant of Covid-19.

IndusInd Bank was the top gainer in the Sensex pack, rising around 2 per cent, followed by Dr Reddy’s, ICICI Bank, Sun Pharma, Reliance Industries, and Axis Bank. On the other hand, PowerGrid, NTPC, Tata Steel, HDFC Bank, Nestle India were among the laggards.

In the previous session, the 30-share equity benchmark surged 477.24 points or 0.83 per cent to end at 57,897.48, and Nifty rose by 147.20 points or 0.86 per cent to 17,233.45.

Foreign institutional investors (FIIs) turned net buyers in the capital market, as they purchased shares worth Rs 207.31 crore on Tuesday, according to stock exchange data.

There are two divergent trends in the governments' and market's response to the Omicron variant, said V K Vijayakumar, Chief investment Strategist at Geojit Financial Services.

"The governments, globally, are responding with caution and imposing some restrictions. In India too Maharashtra and Delhi have imposed some restrictions in the context of rising cases. But the markets have responded to the Omicron variant assuming that this marks the last phase of the pandemic," he said.

He further said, "a strong positive for the market is that FIIs have turned buyers. This augurs well for financials, particularly leading banking stocks whose valuations are attractive now. Rising crude is a macro headwind."

Elsewhere in Asia, bourses in Shanghai, Hong Kong, Seoul and Tokyo were trading with losses in mid-session deals.

Stock exchanges in the US largely ended with losses in the overnight session.

Meanwhile, international oil benchmark Brent crude rose 0.06 per cent to USD 78.72 per barrel.