From Tokyo To Mumbai To Paris, Markets Are Up After FBI Clears Hillary Clinton
Indian markets had seen a selloff in the past five sessions Banking and pharma stocks were among big gainers today Tightening US election race had led to volatility in global markets
The BSE Sensex rallied nearly 200 points on Monday while the Nifty closed a bit below its crucial psychological level of 8,500 as Hillary Clinton's prospects were seen to improve in the US presidential race versus Donald Trump after the Federal Bureau of Investigation (FBI) cleared her in its latest review.
The FBI said on Sunday, two days before America votes for its next President, that it stood by its earlier finding that no criminal charges were warranted against Ms Clinton for using a private email server for government work.
Asian shares rose, with the MSCI's broadest index of Asia-Pacific shares outside Japan advancing 0.8 percent. In Japan, the Nikkei surged 1.6 per cent.
The Wall Street is likely to see a strong opening today, as indicated by a 1.3 per cent gain in Dow futures.
European markets have also rallied today with major indices like Germany's DAX, France's CAC 40 and Britain's FTSE 100 rising nearly 1.5 per cent.
Investors had been unnerved by signs of a tightening presidential race between Ms Clinton and Republican candidate Donald Trump, whose stance on foreign policy, trade and immigration are seen as less predictable by financial markets.
Indian markets had sold off in the previous five sessions, while Wall Street had suffered losses for nine sessions in a row.
"It is basically a sentiment-driven market. Markets are perceiving that Clinton has now become a stronger candidate than Trump," said Saurabh Jain, assistant vice-president of research at SMC Global Securities.
Financial and healthcare stocks were among the biggest percentage gainers on the NSE index after posting heavy losses last week.
The Nifty Bank index and the Nifty Pharma index rose as much as 1.56 per cent and 2 per cent, respectively, rebounding after four sessions of declines.
State-run PNB rallied nearly 6.6 per cent while drugmaker Lupin climbed 7 percent, after the company on Friday said the US FDA had cleared its Goa manufacturing plant for exports.
Shares in PNB Housing Finance rose as much as 16.5 percent on their market debut after a Rs 3,000 crore initial public offering.
The Sensex ended 185 points higher at 27,459 and Nifty settled at 8,497, up 63 points. (With agency inputs)
