After Tuesday's dramatic fall, the Sensex and Nifty have again seen a pullback rally on July 15, 2020 driven by gains in heavyweights as well as IT stocks wherein Nifty IT index has posted gains of 4%.
Metal stocks in trade today are also gaining ground on global cues.
Here are listed below some of the major drivers pulling stock indices higher today:
1. IT index rallies 4%:
IT index has shown remarkable surge today after Wipro's operational performance for the Q1Fy21 has come in better than street estimates. The stock after its results has rallied a whopping 17% in intra-day trade today.
2. Gains in Heavyweight stocks:
Reliance Industries is scheduled to hold its 43rd AGM today at 2:00pm. And several of the key announcements are likely to be announced today such as that on the company's listing as well as progress in the Saudi Aramco. In today's trade too, the stock hit a fresh 52-week high.
Also Infosys stock is trading higher by 2% ahead of its Q1FY21 results.
3. Hopes of vaccine fuelling the rally:
In India Zydus Cadilla has started off with the Adaptive Phase I/ II human clinical trials of its plasmid DNA vaccine, ZyCoV-D with the first human dosing. The Adaptive Phase I/II dose escalation, multi-centric study will assess the safety, tolerability and immunogenicity of the vaccine.
The US will deliver a Coronavirus COVID19 vaccine in the "record-breaking time", said American President Donald Trump. The US President has said that America will deliver a COVID19 vaccine in record-breaking time through "Operation Warp Speed".
Further as another progressive development on vaccine, a trial on Moderna Inc's vaccine suggest that it has been safe and resulted in production of high levels of virus-killing antibodies in all volunteers who were part of the study, reported Reuter
4. Asian markets upbeat:
In line with a rally seen in Asian markets to the extent of over 1% on both Nikkei and Strait Times, Indian indices are also showing resilience, with Nifty above 10750 points and Sensex at 36717 points. Hopes on coronavirus vaccine are now to an extent driving the rally in Sensex which could in fact take the global economy out of the turbulence much faster.
Also there is anticipated another round of stimulus from the EU government and ahead of the EU summit, Euro has surged to a 4-month high.
Bank of Japan also maintained its monetary policy steady and deposit rate at -0.1%4