Sensex closes 337 points higher

A benchmark index of Indian equities markets closed 337 points higher on Friday in a global rally after the European Central Bank (ECB) unveiled a new bond buying programme. The 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE), which opened at 17,575.79 points, closed 17,683.73 points, 1.95 per cent or 337.46 points up from its previous day’s close at 17,346.27 points. This is the biggest single day gain in two months. The Sensex touched a high of 17,701.20 points and a low of 17,575.79 points in intra-day trade. The wider 50-scrip S&P CNX Nifty of the National Stock Exchange closed 1.98 per cent up at 5,342.10 points. Overnight, US stocks had hit a four-and-a-half-year high after the ECB said there will be no limits to the purchases of government bonds with maturities of one to three years. The programme is aimed at keeping the short-term borrowing rates of countries like Italy and Spain at manageable levels, giving them time to enact debt reduction measures and economic reforms. “ECB bonds buying sparked global rally which allowed Indian market open up,” said Kishor P. Ostwal, chairman and managing director, CNI Research. Asian stock markets rallied during the day. Japan’s Nikkei closed 2.20 per cent up while Shanghai’s composite index closed 3.70 per cent higher. From gulftoday