Mumbai: The equity markets bounced back sharply on Friday, posting their biggest single day gain since October 2015 as a recovery in global crude oil prices and expectation regarding more stimulus measures from the European Central Bank (ECB) lifted market sentiments.
This according to market participants triggered fresh buying in beaten down stocks and short covering in the derivatives segment, which pushed the markets higher. The Sensex jumped 473 points or 1.98 per cent to end the trading session at 24,435 while the broader 50-share Nifty ended the day at 7,422, gaining 145 points or two per cent.
“Investor sentiment got a boost after crude oil prices staged a recovery to scale above the $30 per barrel mark. Additionally, the European Central Bank (ECB) also signalled that it may announce another stimulus measure in its next meeting in March,” said Shreyash Devalkar, fund manager, equities, BNP Paribas Mutual Fund.
However, foreign investors continued their selling on the domestic bourses.
According to the data released by the stock exchanges, foreign portfolio investors sold equities worth Rs 769.83 crore on Friday.
The broader markets also remained strong with 2,066 stocks traded on the BSE ending the day higher as compared to 607 stocks that declined.
