NEW DELHI: Domestic equity indices saw a gap up opening to Tuesday’s session, tracking gains in global markets as some factories in China opened despite coronavirus deaths continued to mount.
The total number of deaths in China has topped 1,000, well past the toll from Severe Acute Respiratory Syndrome, which killed nearly 800 worldwide.
BSE flagship Sensex rose 236 points to 41,216 while NSE benchmark Nifty added 76 points to 12,107. Broader market indices underperformed the headline peers as Nifty Smallcap gained 0.0.21 per cent to 6,190 while Nifty Midcap edged 0.08 per cent higher to 18,206. Nifty 500 advanced 0.42 per cent to 9,987.
Factors driving rally on D-Street
Firm global cues
Traders took positives from the gains in the US and Asian markets. On Tuesday, most Asian markets were up. MSCI‘s broadest index of Asia-Pacific shares outside Japan rose 0.9 per cent, with Shanghai blue chips ahead by 0.8 per cent.
US stocks closed higher overnight boosted by heavyweight technology shares. The Dow Jones Industrial Average increased 174.31 points, or 0.60 per cent, to 29,276.82 on Monday. The S&P 500 increased 24.38 points, or 0.73 per cent, to 3,352.09. The Nasdaq Composite Index was up 107.88 points, or 1.13 per cent, to 9,628.39.
New virus cases drop
New coronavirus cases on Monday were relatively lower from Sunday, even though the death toll kept mounting up. According to the local health body, the death from the virus has climbed to 1016. The 2,097 new cases on Monday were down from 2,618 the previous day as Chinese workers and factories slowly returned to work.
Apple’s main iPhone maker Foxconn got the green light on Monday to reopen two major plants in China. It aims to resume production even though only 10 per cent of the workforce has returned so far.
Another relief from RBI
The Reserve Bank on Monday said the