The Sensex rises 1,400 points to 60,000; the Nifty reaches 18,000; and HDFC shares rise 14 percent.

  • April 4, 2022, 11:59 a.m.

he key benchmark indices started Monday’s session on an upbeat note driven by banking majors HDFC and HDFC Bank as the two announced a merger deal.

The markets extended gains in early trades as the BSE Sensex rose 1500 points to 60,780, while the NSE Nifty topped the 18,000-mark, higher by 390 points. Among the Sensex-30 shares, HDFC and HDFC Bank rose 16 per cent and 13 per cent, respectively, leading the index’s gains. They were followed by Bajaj Finance, Titan, Tech M, Asian Paints, and HCL Tech. On the Nifty, HDFC Life and Divis Labs were the additional top gainers.

In the broader markets, the BSE MidCap and SmallCap indices were in the positive territory, up to 1 per cent higher.

Among individual shares, HDFC twins surged in early trade on Monday after the bank said its board has approved the amalgamation of HDFC Investments and HDFC Holdings with HDFC and that of HDFC into HDFC Bank. HDFC’s scrip rose 10 per cent to a high of Rs 2,696 on the BSE while that of HDFC Bank climbed 9 per cent to a high of Rs 1,644.85 on the news of India’s largest private lender HDFC Bank will merge with housing finance firm HDFC Ltd, the companies said on Monday.

Russia-Ukraine talks will continued to be in ficus. As per reports, Ukrainian negotiator David Arakhamia has said that peace talks with Russia are at a stage that could lead to direct contact between Zelenskyy and Putin in Turkey.

This apart, key events are lined up this week starting with the manufacturing PMI data to be released today, followed by the FOMC March meeting minutes on Wednesday that investors will closely watch out for rate hike projections, inflation, and pace of US Fed balance sheet reduction.

On Friday, the RBI’s policy rate announcement remains most awaited. The central bank continues to be in a conflicting position amid flaring inflation and fears of falling behind the curve.

Global Cues

US stocks rose modestly to kick off the second quarter on Friday, as the monthly jobs report indicated a strong labor market and is likely to keep the Federal Reserve on track to maintain its hawkish policy stance. The Dow Jones Industrial Average rose 101.13 points, or 0.29 per cent, to 34,779.48, the S&P 500 gained 4.65 points, or 0.10 per cent, to 4,535.06 and the Nasdaq Composite dropped 7.58 points, or 0.05 per cent, to 14,212.94.

Tokyo’s Nikkei index opened higher on Monday, tracking gains on Wall Street, but early trade was volatile as investors eyed developments in Ukraine and Covid-19 lockdowns in China. The benchmark Nikkei 225 index rose 0.28 per cent, or 78.49 points, to 27,744.47 in early trade, but later sank into negative territory. The broader Topix index added 0.27 per cent, or 5.18 points, to 1,949.45.

Hong Kong stocks opened on a strong note Monday morning as traders welcomed Beijing’s decision to remove a rule preventing US authorities from inspecting Chinese firms traded in New York, easing concerns they could be delisted. The Hang Seng Index rose 0.85 pe rcent, or 187.56 points, to 22,227.11. Mainland Chinese markets are closed for a holiday.

Author : Rajdhani Delhi Representative

Rajdhani delhi representative

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