BSE Sensex rises over 650 pts to 22994.23, hits record high, posts biggest gains since Sept

Written by PTI | Mumbai | Updated: May 10 2014, 03:28am hrs
BSE SensexBSE Sensex extends gains to near record highs on hopes Narendra Modi-led BJP would win a majority in Lok Sabha elections.
The BSE Sensex today crossed record 23,000 level for the first time but closed a tad lower at 22,994.23, posting its biggest single-day gain of 650.19 points since September 2013, on strong FII buying in banking, auto and power stocks ahead of election results next week.

In the day trade, the 30-share BSE barometer scaled its all-time high of 23,048.49 points as ICICI Bank, Tata Motors and Reliance Industries (RIL) spurted.

The broad-based Nifty of the National Stock Exchange too spurted by 198.95 points, or 2.99 per cent to settle at record closing of 6,858.80. It touched an all-time intra-day high of 6,871.35 points, breaching previous record of 6,869.85 reached on April 25.

Both the indices posted their biggest single-session gains since September 19, 2013.

Buying activity gathered momentum as funds and investors were seen creating positions before the outcome of ongoing general elections next week.

"As the election D-day is approaching closer, the markets are rallying on anticipation of a favorable outcome," Dinesh Thakkar, Chairman & Managing Director, Angel Broking, said.

ICICI Bank rose the most by 6.63 per cent among Sensex scrips, while Tata Motors spurted by 5.57 per cent.

Hindalco (5.35 per cent), HDFC Bank (5.31 per cent) and BHEL (5.21 per cent) were among top five gainers among index stocks. Besides, ONGC (4.13 per cent), HDFC (4.07 per cent), RIL (3.93 per cent), SBI (3.88 per cent) and L&T (3.29 per cent) supported the rally.

A firming trend at other Asian bourses were other factors behind today's rally, brokers said.

In Sensex components, 27 stocks gained, while 3 declined.

The banking sector index gained the most by surging 5.34 per cent to 15,721.36 followed by realty index by 4.38 per cent to 1,420.52.

The power index rose by 4.12 per cent to 1,743.52 and PSUs index by 3.57 per cent to 6,767.66.

Sanjeev Zarbade, Vice President- Private Client Group Research, Kotak Securities: Global markets remained subdued during the weak. Nasdaq and Nikkei, the two indices continued to underperform and likely to end the week in the red. On the other hand, the Sensex notched a smart rally on the last trading day of the week to end firmly in the positive zone. Unmistakeably, the focus remains on the approaching D-day ie 16th May when the election verdict would be announced. But even before that, the market would react to exit polls numbers as it starts trickling in once the final phase of polling gets completed by 12th May. Sector-wise, the market behavior was in line with pattern of past few weeks cyclicals gained at the expense of defensives. Going into the next week, we would have the IIP and Inflation data to be announced. On the global front, stimulus measures by EU if any could be a positive. However, focus will be firmly on the exit poll numbers due on Monday evening as well as on the final election results on Friday. A decisive verdict from the elections will be a long term positive for the markets.

Sensex, Nifty end at record highs on capital inflows

(Reuters) BSE Sensex hit a record high on Friday, posting its biggest daily gains since September on hopes the opposition Bharatiya Janata Party would win a majority in elections set to conclude next week, sending blue-chips such as ICICI Bank sharply higher.

The benchmark BSE index rose as much as 3.15 percent to a record high at 23,048.49, surpassing its previous high of 22,939.31 hit on April 25. It ended up a provisional 2.9 percent.

The broader NSE Nifty index rose as much as 3.18 percent to as high as 6,871.35, surpassing its previous all-time high at 6,869.85 on April 25. It rose 2.99 percent.

Both indexes posted their biggest single-day gains since Sept. 19, 2013.

Banking stocks gained the most with the NSE banking sub-index gaining 5.5 percent to hit a record high at 13,814.25. ICICI Bank surged 7.2 percent.