Picture used for illustrative purpose. File
Indian shares on Friday bounced back from their longest losing streak since February, boosted by IT stocks, although gains were capped due to pressure on lenders after India extended the suspension of bankruptcy filings.
The broader NSE Nifty 50 index rose 0.72% to 10,882.15 and the S&P BSE Sensex climbed 0.7% to 36,809 by 0458 GMT, after falling for six straight sessions.
Both the indexes are still set for their worst week since early-May, having fallen around 6% each up to Thursday's close, on worries over the impact of surging cases of the novel coronavirus on the global economic recovery.
"We feel this is just a relief rally and (its) sustainability will be difficult as the banking index still looks weak," said Ajit Mishra, vice president, research at Religare Broking.
The Nifty IT sub-index climbed 2.2% to be the best sectoral performer. Tata Consultancy Services Ltd was the biggest boost, rising as much as 4.4%. Up to Thursday's close, the stock's losses stood at 4.71%.
The Nifty PSU Bank Index, which tracks state-owned lenders, slipped 0.24%, while the Nifty Bank Index posted muted gains of 0.15%.
The suspension of bankruptcy filings, aimed at helping businesses stay afloat amid the pandemic, will stop banks from initiating insolvency proceedings against any borrower for defaults arising on or after March 25, 2020.
Meanwhile, broader Asian peers rose on Friday after an overnight tech-led rally in US stocks, on hopes of economic stimulus from the United States.
Shares of Granules India Ltd rose as much as 9.5% after a report said KKR, Bain Capital, Blackstone were in the race for a majority stake in the pharma company.
India's Cipla rose as much as 3.92% after it got a final approval from the US FDA for a generic version of Biogen IDEC's multiple sclerosis drug Tecfidera.
The blue-chip NSE Nifty 50 index closed 0.1% lower at 11,504.95, while the benchmark S&P BSE Sensex, which has fewer pharma components, ended down 0.34% at 38,845.82.
The blue-chip NSE Nifty 50 index closed 1.52% higher at 11,449.25, while the benchmark S&P BSE Sensex closed up 1.69% at 38,840.32. Mukesh Ambani-led Reliance closed 7.1% higher.
Indian economy is likely to swell to $5 trillion mark ahead of its target of 2024 despite huge challenges and global trends. This was stated by T.N. Manoharan, non-executive chairman of India’s Canara Bank recently in Dubai,
Adding to the persisting concerns of a weakening economy, an IHS Markit report said that business sentiment in the country in June fell to the lowest level since 2016 as companies are worried over a subdued economy, government policies, regulation and water shortages.
Global shares rattled on Monday as surging coronavirus cases in Europe and the United States clouded the global economic outlook, while China’s leaders meet to plan the country’s economic future.
Sheikh Hamdan Bin Rashid Al Maktoum, Deputy Ruler of Dubai, Minister of Finance and President of Dubai Electricity and Water Authority (DEWA), on Monday virtually inaugurated the Water, Energy, Technology and Environment Exhibition (WETEX) and the Dubai Solar Show 2020.
The Chairman of the Sharjah Chamber of Commerce & Industry (SCCI) Abdullah Sultan Al Owais, underlined the Chamber’s commitment to communicating with the local business community through the sectoral business groups,
Investcorp, a Bahrain-based asset manager which counts Mubadala Investment Company as its biggest shareholder, on Monday announced that it has acquired 32 industrial properties totaling approximately 3.5 million square feet