Sensex soars 574 pts in early trade as Fed defers QE tapering

The BSE Sensex today spurted over 574 points to 20,536.29 in early trade today on sustained buying by funds and retail investors, triggered by strengthening rupee and a firming trend overseas after the US Federal Reserve decided to keep its stimulus programme intact.
The 30-share index, which had gained nearly 230 points in the past three sessions, rose further by 574.13 points, or 2.88 per cent, to 20,536.29 points with banking, realty, capital goods and auto sector stocks leading the rally.
The broad-based NSE Nifty also moved up 183.65 points, or 3.11 per cent, to 6,083.10.
Brokers said market sentiment turned extremely bullish on a flurry of buying by funds driven by strengthening rupee and a firming global trend after the US Federal Reserve surprised markets by sticking to its massive bond-buying programme.

The BSE banking index gained the most by surging 6.89 per cent to 12,711.50 as stocks like SBI was up 5.32 per cent, followed by ICICI Bank (8.18 per cent), Axis Bank (7.13 per cent), Yes Bank (16.27 per cent) and HDFC Bank (5.12 per cent).
In other Asian markets, Hong Kong's Hang Seng rose by 1.67 per cent, while Japan's Nikkei by 1.32 per cent in early trade today.
The US Dow Jones Industrial Average gained 0.95 per cent to hit record high in yesterday's trade.