Market Wrap, Aug 6: Indices trim gains, Sensex ends 277 pts higher

Shrugging off weak global cues, the domestic equity market ended with decent gains on Tuesday ahead of the Reserve Bank of India (RBI) monetary policy announcement due tomorrow. The S&P BSE Sensex, which hit an intra-day high of 37,242, up 542 points, retreated sharply in the fag-end of the session to settle at 36,977, up 277 points or 0.75 per cent. YES Bank emerged as the top gainer while Reliance Industries (RIL) was the biggest loser on the index.

HDFC, Larsen & Toubro (L&T), ICICI Bank, Axis Bank and Bajaj Finance were the major contributors to the index's gains. 

On the NSE, the frontline index Nifty50 failed to reclaim the crucial psychological level of 11,000 and ended at 10,948.25 levels, up 86 points or 0.79 per cent. Out of 50 components of the index, 35 ended in the green while 15 declined.

As per analysts, market participants are hoping for a rate cut tomorrow which infused some optimism in the market. Additionally, reports that Finance Minister Nirmala  Sitharaman will meet representatives of various sectors over the coming days, following which the Centre will announce sector-specific measures or interventions also boosted investor sentiment. Sitharaman also said the government was ready to hear FPIs' views on any issues. 

Sectorally, all the indices on the NSE, barring Nifty Media and Nifty IT, ended with robust gains. Realty stocks advanced the most, followed by banks and auto.

In the broader market, the S&P BSE MidCap index ended 193 points or 1.44 per cent higher at 13,569 levels while the S&P BSE SmallCap closed at 12,495, up 211 points or 1.72 per cent. 

BUZZING STOCKS

DHFL rallied as much as 40 per cent in the intra-day trade after the cash-strapped company finalised and placed a resolution plan to its lenders on Tuesday. The stock, eventually, settled at Rs 55.40 apiece on the BSE, up 32 per cent. CLICK TO READ FULL ARTICLE

Shares of Zee Entertainment Enterprises (ZEEL) ended lower for the seventh straight session on Tuesday. The stock slipped 8 per cent to Rs 305 on the BSE in the intra-day trade, before settling at Rs 312.50, down over 5.50 per cent.