Key benchmark indices logged strong gains amid upbeat global stocks. The barometer index, the S&P BSE Sensex, rose 276.86 points or 0.78% to settle at 35,934.72. The Nifty 50 index rose 80.25 points or 0.74% to settle at 10,852.90. Global risk appetite improved after favourable US jobs data.
In Europe, investors reacted to news that the UK's chief Brexit negotiator has resigned from his post after disagreements with the rest of the UK government and in particular the prime minister. Theresa May reached a compromise Friday to go ahead with a plan that would mean the country had the closest possible ties with the EU. May is due to address the House of Commons on Monday.
Meanwhile, in Germany, data showed exports rising in May, widening the trade surplus, despite ongoing trade frictions with the United States.
US stocks closed solidly higher on Friday, 6 July 2018, after a read on the labor market came in stronger than expected, supporting the thesis that economic fundamentals remain healthy despite trade-war anxieties.
The US created 213,000 new jobs in June, while the readings for May and April were also revised higher. Separately, the unemployment rate rose to 4% from 3.8%. Meanwhile, the nation's trade deficit shrank 6.6% in May to a 19-month low.
On the political front, the Trump administration officially imposed tariffs on $34 billion of Chinese imports at midnight Eastern Time, and Beijing implemented tariffs on the same value in US goods, as promised.
Back home, trading for the week began on a firm note as key benchmark indices saw gap-up opening on positive Asian stocks. Stocks trimmed gains in morning trade after an initial upmove. Fresh buying in index pivotals propelled the key benchmark indices near day's high in early afternoon trade. Key benchmark indices were trading firm in afternoon trade. Stocks extended gains and hit fresh intraday high in mid-afternoon trade. Indices held firm in late trade.
The Sensex rose 276.86 points or 0.78% to settle at 35,934.72, its highest closing level since 31 January 2018. The index rose 319.51 points, or 0.90% at the day's high of 35,977.37. The index rose 121.86 points, or 0.34% at the day's low of 35,779.72.
The Nifty 50 index rose 80.25 points or 0.74% to settle at 10,852.90, its highest closing level since 13 June 2018. The index rose 87.70 points, or 0.81% at the day's high of 10,860.35. The index rose 34.50 points, or 0.32% at the day's low of 10,807.15.
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