Domestic stocks took on more strength on positive cues from Europe as the benchmark Sensex rallied nearly 102 points to hit a three-week high of 28,179 ahead of a crucial meeting between the Government and top management of banks on NPAs. But caution set in after some key banks are due to announce their earnings from Tuesday onwards.
The global markets ruled higher on Monday on expectations that China will unveil fresh economy-boosting measures. Buying across the board led by oil and gas, banks and auto stocks carried forward the momentum. The 30-share Sensex opened higher and settled at 28,179.08, a gain of 101.90 points, or 0.36 per cent. The gauge had lost 53 points in Friday due to heightened prospects of a US rate hike.
The NSE 50-share closed up 15.90 points, or 0.18 per cent, at 8,708.95. “Early sluggishness was wiped off on positive cues from European markets and after PSU banks added further gains ahead of a meeting of senior management of banks today to discuss the bad loans issue in specific sectors, including steel, power and infrastructure,” said Anand James.