Sensex jumps by 2,476 points on strong global cues, pharma stocks surge

Equity benchmark indices closed nearly 9 per cent higher on Tuesday due to firm global cues and value buying amid tentative signs that coronavirus may be levelling off in the United States and Europe.

There was broad-based buying and most sectors traded with healthy gains. Pharma stocks rallied after the government lifted restrictions on the export of 24 pharmaceutical ingredients and medicines made from them.

The BSE S & P Sensex closed 2,476 points or 8.97 per cent higher at 30,067 while the Nifty 50 jumped 708 points or 8.76 per cent up at 8,792.

All sectoral indices at the National Stock Exchange were in the positive zone with Nifty private bank gaining by 11 per cent, pharma by 10.4 per cent, auto by 9.4 per cent, FMCG by 8 per cent and IT by 7.4 per cent.

Among stocks, the top gainer was included IndusInd Bank which zoomed 25 per cent after its promoter the Hinduja Group initiated talks with sovereign wealth funds and pension funds, including Canada's CPPIB and Singapore's GIC Pte Ltd, to raise nearly 500 million dollars.

Axis Bank gained by over 20 per cent and ICICI Bank by 13 per cent. The other prominent winners with double-digit gains included Grasim, Dr Reddy, Hindustan Lever, Mahindra & Mahindra, Hindalco and Maruti.

Meanwhile, Asian stock markets rallied for a second day, buoyed by tentative signs the coronavirus crisis may be levelling off in New York and receding in Europe even though global coronavirus cases kept rising.

Japan's Nikkei rose by 2 per cent and erased most of last week's losses after Prime Minister Shinzo Abe promised a massive 991 billion dollar economic stimulus package -- equal to 20 per cent of GDP.

Following a 7 per cent surge on Wall Street overnight, Hong Kong's Hang Seng moved up by 2.12 per cent, South Korea's Kospi by 1.77 per cent and Shanghai composite by 2.05 per cent.