Business Recorder
Indian shares snapped a three-session losing run on Monday, led by a rebound in information technology stocks and gains in Sun Pharma following its deal to acquire U.S.-based Organon, while investors tracked Middle East situation and corporate earnings. The Nifty 50 rose 0.81% to 24,092.7, while the Sensex added 0.83% to 77,303.63. All 16 major sectors advanced. Broader small-caps and mid-caps gained 1.9% and 1.5%, respectively. Sentiment improved after Iran presented a new proposal to the U.S. to reopen the Strait or Hormuz and end the war, with nuclear negotiations deferred to a later stage, Axios reported on Sunday. “The report about fresh talks have led to some value buying after three straight sessions of losses,” said Anita Gandhi, head of institutional business at Arihant Capital Markets. The Nifty and Sensex lost 2.7% each in the last three sessions on higher crude prices linked to the Iran war. However, Gandhi cautioned that elevated Brent crude prices, currently trading around $108 a barrel, could dent India’s growth and weigh on the inflation outlook. India’s biggest drugmaker Sun Pharmaceutical Industries jumped 7%, marking its best session in nearly five years, after clinching a deal to acquire Organon for $11.75 billion. The stock was the top gainer on the benchmark indexes. The IT index rose 2.2%, snapping a three-session slide of 10.1% that was triggered by weak growth forecast by Infosys and HCLTech. Metals added 1.8%. Autos and energy stocks gained 1.6% and 1.5%, respectively. Reliance Industries reversed early losses of 1.3% to end 2.9% higher, despite missing quarterly profit estimates. The oil-to-telecom conglomerate had lost 2.5% in the last two sessions. Axis Bank fell 3.1% on missing fourth-quarter profit estimates and approving a $2 billion equity fundraise.
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