Sensex gains 120 points on strong global cues, Nifty tops 10,600

NEW DELHI: Investors on Dalal Street continued to buy equities on Friday as risk sentiment improved further on strong US jobs data and expansion of services sector activity in China. However, fast rise in Covid-19 cases kept the gain in check.

The US economy created jobs at a record clip in June, but 31.5 million Americans were collecting unemployment checks in the middle of the month. Meanwhile, the total number of Covid-19 patients in India reached 6.3 lakh while fatalities climbed above 18,200 levels.

At 09.20 am, BSE flagship Sensex was up 122 points or 0.34 per cent to 35,965 while NSE benchmark Nifty gained 50 points or 0.48 per cent to 10,602. FMCG, media, pharma and realty stocks were in demand while PSU banks were under pressure in early trade.

In the 30-share pack Sensex, buyers came back to Axis Bank as the scrip was the biggest gainer, up 1.4 per cent at Rs 429.50, followed by L&T, Bajaj Auto, Power Grid, Kotak Mahindra Bank and Reliance Industries that gained in the range of 1-2 per cent.

Tata Steel was the biggest loser in the pack, down 0.42 per cent followed by M&M, Infosys, and Maruti Suzuki that were the other members of the losers club.

Broader market indices were faring in-line with their headline peers as Nifty Smallcap gained 0.45 per cent while Nifty Midcap added 0.48 per cent. Broadest index on NSE, Nifty 500 was up 0.45 per cent.

All sectoral indices on NSE were trading with gains. Nifty Media was the biggest gainer, up 0.92 per cent. Nifty FMCG, Nifty Pharma and Nifty Realty were among other top gainers.

Globally, Asian shares rallied to a four-month high on robust US payrolls data and a brisk pickup in Chinese service sector activity but a surge in coronavirus cases in the United States kept a lid on further risk-taking.

MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.5 per cent, reaching their highest level since late February, while Japan's Nikkei rose 0.4 per cent.

Mainland Chinese shares, which were among the best performers over the past month, extended gains, with the Shanghai composite index hitting a high last seen in April 2019.

S&P 500 futures were down 0.1 per cent but volumes were lower than usual due to a U.S. markets holiday on Friday for Independence Day.