Sensex surges to 3-month high at midsession ahead of summit
The Bombay Stock Exchange scaled to a three-month high at midsession on Thursday by adding over 475 points ahead of a gathering of world leaders in London to consider an agenda aimed at ending the global economic slump.
After a better start, the Sensex surged 475.47 points at 10,377.46 at 1245 hours, a level last seen on January 6, as funds indulged in buying heavy-weight stocks led by interest-sensitive realty and banking sectors on expectations of interest rate cuts.
The National Stock Exchange index Nifty spurted by 141.80 points at 3,202.15 at the same time.
Marketmen said the buoyancy was based on expectations that the G-20 summit of world leaders is likely to ease the worst economic crisis since the 1930s.
They said low inflation may induce rate cuts by the RBI, somethingg which would boost sales of homes and consumer durables.