January 20 2020
Sensex reclaims 35,000 as crude prices cool
29 May 2018

The benchmark Sensex reclaimed the 35,000-mark on Monday as a fall in the global crude prices led to significant gains in leading Asian markets while lifting investor sentiments in the domestic bourses as well.

The 30-share Sensex gained 240.61 points to close at 35,165.48 with as many as 22 constituents of the index ending the day in the green. The index had last closed above the 35,000-mark on May 17 and since then, lost considerable ground on account of the rising crude prices that hit $80 a barrel.

Brent crude futures have corrected a tad and are currently trading at about $75 a barrel. Not surprisingly, oil marketing majors like HPCL and BPCL gained 6.10% and 5.17%, respectively on Monday.

Meanwhile, the broader Nifty of the National Stock Exchange rose 83.50 points to close at 10,688.65.

A fall in crude prices is good for the stock markets as it would reduce the pressure on the currency and the fiscal deficit as well, according to Viral Berawala, chief investment officer, Essel Mutual Fund,

“We have already seen markets reacting to falling crude prices in the last couple of days,” he added.

Elsewhere in Asia, Nikkei and Hang Seng gained 30 points and 204 points, respectively. The benchmark equity indices of South Korea and Taiwan also gained ground on Monday.

Back in India, the market breadth was strong with more than 1,800 gainers as against 848 declines. Barring BSE Teck and BSE Information Technology, all the other sectoral indices also ended in the positive territory.



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