Investor wealth rises by Rs 2.73 lakh cr in market rally

From the 30-share Sensex pack, 26 scrips closed with gains led by Tata Motors that zoomed 16.63 per cent after the company reported narrowing of losses in the September quarter.

Illustration: Uttam Ghosh/Rediff.com

Investor wealth soared by Rs 2.73 lakh crore on Tuesday in a buoyant equity market where the BSE benchmark zoomed 581.64 points helped by encouraging quarterly results and US-China trade deal optimism.

The 30-share Sensex jumped 581.64 points to close at 39,831.84.

During the day, it advanced 666.81 points to 39,917.01.

The market capitalisation of BSE-listed firms soared Rs 273,355.21 crore to Rs 1,52,04,693.34 crore.

"A strong momentum is seen in the market as healthy Q2 earnings from big corporate and attractive valuation for mid & small caps is providing a favourable risk-reward to investors.

"The clouds over global market are gradually settling down with developments in trade deal and Brexit, while rate cut expectation from (US) FED will further add impetus to emerging markets like India," Vinod Nair, head of research, Geojit Financial Services Ltd said.

According to Ajit Mishra, vice president, research, Religare Broking Ltd, "The markets in the near term are likely to be driven by earnings outcome and auto volume numbers which will be a crucial indicator of revival in consumer spending.

“Further, the outcome of US Fed meet (scheduled for October 29-30) will also influence the market trend."

From the 30-share Sensex pack, 26 scrips closed with gains led by Tata Motors that zoomed 16.63 per cent after the company reported narrowing of losses in the September quarter.

At the BSE, 1,435 companies advanced, while 1,029 declined and 213 remained unchanged.