India stocks rise as firms gradually open for business

Bloomberg

Indian stocks rose amid optimism the restarting of business will help revive the economy.
The S&P BSE Sensex Index added 1.8% to 31,169.39 as of 11:43 am in Mumbai on Thursday, while the NSE Nifty 50 Index gained 1.7%. Both gauges may be volatile ahead of the expiry of monthly derivatives contracts, after crossing their 50-day moving averages on Wednesday.
India is allowing the gradual resumption of business even as coronavirus infections continue to climb. Still, S&P Global Ratings said the consequences of Covid-19 will lead to a large, permanent economic loss and deterioration in balance sheets.
“Lockdown-easing measures are helping improve the sentiment,” said Anita Gandhi, an
investment adviser at Mumbai-based Arihant Capital Markets Ltd. “Everybody is optimistic is about the reopening of the economy but the case count will be the ultimate decision maker.”
The yield on India’s 10-year benchmark bond was steady at 5.76%, while the rupee weakened 0.1% to 75.7725 per US dollar.
Of the 28 Nifty 50 companies that announced results for the quarter through March so far, only nine have beaten analysts’ expectations. The earnings season has been extended through June 30 to account for filing
issues posed by the lockdown.
Fifteen of 19 sub-indexes compiled by BSE Ltd. advanced, led by a gauge of banks. HDFC Bank Ltd. contributed the most to the Sensex advance, increasing 4.7%, while IndusInd Bank Ltd. had the largest gain, rising 7.8%.