Sensex Up 280 Points In Early Trade; Nifty Climbs Above 10300

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Sensex Up 280 Points In Early Trade; Nifty Climbs Above 10300

Indian equity benchmarks traded on a strong note throughout the day and ended the session with heavy gains on tracking firmness in global cues after the latest United States jobs report assuaged fears around inflation and faster rate hikes. On the BSE, 1,067 stocks gained, 297 stocks declined, while 59 stocks remained unchanged.

Investor wealth on Monday rose by Rs 1.78 trillion, helped by a smart rally in the stock market, where the benchmark Sensex spurted by 611 points - its biggest single-day gain in two years.

On global Front; Asian markets shut the day on green note while European indices were trading in green.

In the Asian region, Hong Kong's Hang Seng was up 1.68 per cent and Shanghai Composite Index rose 0.75 per cent, while Japan Nikkei edged higher by 1.72 per cent in early trade.

After opening on a strong footing, the Sensex gained 610.80 points (1.83%) to close at 33,917.

Vinod Nair, head of research, Geojit Financial Services said: "Firm global cues and expectation of ease in domestic inflation to 4.74 per cent excited investors to utilize the bargain opportunity. However, mid and small cap witnessed reluctance due to high valuation".

Dealers said dollar's weakness against a basket of currencies despite strong U.S. jobs report data and early gains in domestic equity markets supported the rupee.

Meanwhile, the US Dow Jones Industrial Average ended 1.77% higher on Friday.

The equity markets soared almost two per cent on Monday tracking strong gains in overseas equities after USA jobs data showed that the annual growth in average hourly earnings slowed to 2.6 per cent despite an impressive growth in non-farm payrolls.

Most global markets have turned positive following U.S. data indicating abating inflationary pressure, which lowered the chances of an interest rate hike in the near future.

The benchmark indices have lost ground in seven of the last nine trading sessions. Foreign investors started selling in the equity market after Budget presentation in February which also coincided with the rise in bond yields in the US.

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