Equity benchmark indices, which opened lower on Monday, bounced back in the following hours as Hindenburg Research allegations against Sebi Chairperson Madhabi Puri Buch and Adani Group failed to dampen investor sentiments.
Sensex, which opened at 79,330.12 in the morning, reached an intraday high of 80,106.18 by 11.20 am. Nifty, which opened at 23,320.05, bounced back to 24,472.80 by 11 am.
All 10 Adani Group stocks slumped 2-5 per cent on Monday morning, recording loss of $19 million in market cap. At 10 am, Adani Power Ltd was trading 4.26 per cent lower while Adani Enterprises saw 4.7 per cent dip. Adani Green Energy was trading at 4.1 per cent dip while Adani Energy Solutions saw 4.24 per cent dip and Adani Ports and SEZ at 2.73 per cent dip.
However, by 12 pm, Adani Energy Solutions was the only stock from the conglomerate to see more than 3 per cent plunge. The erosion of market valuation was reduced to $9 billion by mid-day.
Sebi had earlier asked investors to exercise due diligence before making investment decsions based on Hindenburg Research's report.
After Sebi's clarification and rebuttals by its chairperson Buch and her husband, the US short seller hit back again, saying the couple's denial contains significant "admissions" and confirms a "massive conflict of interest".
Leader of Opposition Rahul Gandhi had earlier claimed that Sebi's integrity has been "gravely compromised" and there was significant risk in the stock markets. BJP's Amit Malviya slammed Gandhi, saying he is now seeding doubt about the genuineness of the Indian stock markets.
