Indian Stock Market Bounces Back After Historic Slump, Sensex Surges 900 Points

The Indian stock market made a robust recovery on Wednesday as Sensex surged 900 points, breaking a three-day losing streak. The Nifty ended up 304.95 points. Global market rebounds and Indian sectoral stocks saw broad-based buying. The Indian rupee hit a record low against the US Dollar.

The Indian stock market on Wednesday made a formidable recovery, retaining gains after Monday's historic bloodbath. Sensex surged by 900 points, breaking a three-day losing streak, while the Nifty climbed to 24,297.50, gaining 304.95 points or 1.27 per cent.

All sectoral stocks on the National Stock Exchange ended in the green, with Oil and Gas, Metal, and Pharma sectors leading the gains. Vinod Nair, Head of Research at Geojit Financial Services, noted that global markets rebounded after the Bank of Japan's Deputy Governor reassured no interest rate hikes during financial instability. He also highlighted broad-based buying across sectors in the Indian market and a relief rally in the realty sector.

The Indian Rupee saw a record low against the US Dollar at 83.9725, surpassing its previous low of 83.96, influenced by strong dollar bids and importer hedging. Despite this, positive global equities and potential RBI interventions might offer some support.

Meanwhile, USD-INR spot prices are projected to range between Rs 83.75 and Rs 84.20. Varun Aggarwal, MD at Profit Idea, mentioned that recent amendments to the finance bill provide relief to middle-class homeowners, which could boost the real estate sector.

Gold and silver prices rebounded slightly after recent declines, driven by weaker US manufacturing data and recession concerns. Key sectors showed varied performance with Insurance (+16.11 per cent), Shipbuilding (+15.82 per cent), and Containers & Packaging (+12.22 per cent) leading gains, while Plastic Products (-4.05 per cent) and Manufacturing (-2.98%) faced declines. The market outlook remains under the influence of global economic conditions and sector-specific trends.

(With inputs from agencies.)