Indian shares rebounded on Thursday to close over 1% higher in a volatile session, aided by broad-based buying in financial, metal, and power stocks.
The Sensex ended 359 points higher at 70,865 after hitting a day’s low of 69,920 earlier. The broader Nifty 50 settled at 21,255, up 105 points after slipping below 21,000 intraday.
HDFC Bank, Kotak Bank, SBI, and Reliance Industries aided the Sensex’s rise, while Bajaj twins, Axis Bank, Maruti and ICICI Bank closed lower.
All sectoral indices closed in the green, led by media, metal, and PSU bank stocks. The midcap and smallcap gauges outperformed to climb 1.6% and 1.7% respectively.
The market recovery comes a day after a sharp slide on Wednesday when Sensex had plunged 931 points to 70,506 and Nifty 50 shed 303 points to settle at 21,150 amid across-the-board selling pressure.
Analysts said the intermittent volatility is likely to persist in the near term amid the year-end holiday season and concerns around stretched valuations.
They expect the ongoing consolidation phase to continue for a while before the market regains confidence and resumes its upward trajectory based on improving macros.
