Stock Market’s Stunning Comeback: ₹4.5 Lakh Crore Gained Post Quake Shock

 Mumbai (The Uttam Hindu) – The domestic stock markets witnessed huge fluctuations on Thursday in the trading affected by the announcement of increasing the duty on Indian exports to the US by 50 percent and after a sharp decline, the major stock indices finally closed with mild gains in the last two hours, especially with the support of buying in the shares of IT, pharma and auto companies. Till a few minutes before the market closed, the Sensex was seen trading with a gain of more than 120 points. When the stock market closed, it was on the green mark. This means that in two hours the Sensex closed with a gain of more than 800 points from the day's low level. The special thing is that investors have earned about Rs 4.50 lakh crore in these two hours. According to experts, this U-turn in the stock market has been seen only due to the US tariff being held till August 27. The BSE Sensex, which closed at a three-month low on Wednesday, closed at 80,623.26 points with a gain of 79.27 points (0.10 percent). The Sensex fluctuated by 926 points. The National Stock Exchange (NSE) Nifty-50 also reached 24,596.15 points with a gain of 21.95 points or 0.09 percent.

The market witnessed a lot of fluctuations due to the announcement of doubling the duty on Indian export goods to the US to 50 percent. In the morning, the BSE-30 Sensex opened 279 points lower at 80,543.99 points and at one point in the afternoon, it reached 79,811.29 points, but due to buying at low prices, it improved by more than 900 points in the last two hours and reached 80,737.55 points. Finally, it closed at 80,543.99 points.

Similarly, NSE's Nifty-50 also opened 90 points lower at 24,464.20 points and by afternoon, it fell to 24,344.15 points. Later, due to buying, it strengthened to 24,634.20 points and closed at 24,596.15 points.

Among the Sensex companies, shares of Tech Mahindra rose 1.68 percent, HCL Technologies 1.17 percent, Eternal 0.97 percent and Axis Bank 0.85 percent. Shares of Maruti Suzuki, Tata Steel, HDFC Bank and Asian Paints also remained in the green. Adani Ports fell 1.55 percent, Trent 1.06 percent, Tata Motors 0.85 percent and Hindustan Unilever 0.74 percent. Shares of NTPC, Mahindra & Mahindra, Kotak Mahindra Bank and BEL also closed in the red.

The Nifty-100 index based on 100 shares in NSE rose by 0.11 percent. More buying was seen in medium and small companies. The Nifty Midcap-50 index rose by 0.49 percent and the Nifty Smallcap-100 rose by 0.17 percent. The IT, pharma and auto group indices closed with gains. The health, FMCG, banks and metal group indices also rose.

Overseas, Asian stock markets remained in the green. Japan's Nikkei closed with a gain of 0.65 percent, Hong Kong's Hang Seng closed with a gain of 0.69 percent and China's Shanghai Composite closed with a gain of 0.16 percent. In the European markets that opened at noon as per Indian time, Germany's Dax was trading with a gain of 1.71 percent in early trade while Britain's FTSE was down by 0.27 percent.

US President Donald Trump has imposed another 25 percent duty on Indian goods for buying oil from Russia, taking the total duty to 50 percent. The new duties will be effective from August 27. According to market analysts, the news of US President Trump's meeting with Russian President Vladimir Putin early next week has eased the market's concerns about geopolitical tensions to some extent.

Local traders are still hopeful that the India-US trade talks may yield some meaningful results. The US team is scheduled to visit India on August 24 for the next round of talks on the bilateral trade agreement.