Sensex jumps more than 1,100 points as oil prices fall

Benchmark stock indices in India rose sharply in morning trade on Thursday, with the Sensex gaining over 1,100 points as softness in crude prices and buoyancy in IT and banking stocks supported investor sentiment, even as global cues remained weak.

During the session, BSE Sensex was trading above 73,800 levels and the Nifty50 was above the 22,900 mark as reported by NDTV and The Financial Express.

The buying was broad-based, with IT, banking, financial services and automobile shares among the sectors leading the charge. IT shares were among the top gainers after major technology companies, such as HCLTech, Infosys and Tata Consultancy Services, released quarterly results, according to Reuters.

Crude oil also declined as traders considered supply prospects around the globe and Middle East regional instability. Brent crude futures declined to approximately $104 a barrel, alleviating some anxiety about the volume of oil that India plans to import and inflation.

Nevertheless, the world’s uncertainty persisted with the US’s inflation rate being higher than anticipated, prompting fears that interest rates will need to stay high longer.

The index movement will be largely dependent upon crude oil prices, global cues and earnings.