Nifty trades above 16,500 as the Sensex gains more than 650 points

On Wednesday, despite encouraging global indications, Indian equities indices traded higher in the early going.

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On Wednesday, despite encouraging global indications, Indian equities indices traded higher in the early going. Gains in all sectors let domestic indices continue their winning streak for a fourth session.

Following an overnight jump on Wall Street, Asian markets rose as investors who were concerned about rising inflation and central bank interest rate hikes found some solace in robust U.S. corporate results and the anticipated restart of Russian gas delivery to Europe.

Aggressive rate increases to control inflation had been considered by market players as a possible trigger for a downturn in the economy.

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At home, the government’s decision to reduce windfall taxes on petroleum and fuel exports helped investors feel more optimistic.

The broad NSE Nifty advanced 166 points or 1.01 percent to trade at 16,506, while the 30-share BSE Sensex rose 672 points or 1.23 percent to 55,439 in the early session.

As the Nifty Midcap 100 increased by 0.59 percent and the small-cap index increased by 0.97 percent, mid- and small-cap shares were trading strongly.

The National Stock Exchange’s 15 sector indexes were all trading in positive territory. The NSE platform was outperformed by the sub-indices Nifty IT, Nifty Metal, and Nifty Oil & Gas, which increased by as much as 1.10%, 1.21%, and 1.94%, respectively.

ONGC was the biggest Nifty gainer on a stock-by-stock basis, with the stock rising 5.63% to 135.10. Among the winners were Tech Mahindra, Hindustan Unilever, Reliance Industries, and Infosys.

2,071 equities on the BSE were rising while 457 were falling, contributing to a favourable overall market breadth.

The top gainers on the 30-share BSE index included TechM, Reliance, Infosys, HUL, TCS, Titan, HCL Tech, Wipro, Tata Steel, IndusInd Bank, UltraTech Cement, and Maruti.

The largest domestic financial investor and insurer in the nation, Life Insurance Corporation of India (LIC), saw a 0.68 percent increase in share price to trade at INR 693.45.

ITC, on the other hand, was trading in the red.

Tuesday’s closing values for the Sensex and Nifty were respectively 54,768 and 16,341 for the Sensex and 246 points or 0.45% for the Nifty.