Markets scale new peaks on rising foreign fund inflows

Written by ENS Economic Bureau | New Delhi | Updated: Sep 4 2014, 13:46pm hrs
BSE SensexBSE Sensex surged for the ninth straight trading session on Wednesday, gaining 120 points to close at a fresh peak of 27,139.94.
Buoyed by strong inflows of foreign funds and rise in global markets, the benchmark Sensex at the Bombay Stock Exchange surged for the ninth straight trading session on Wednesday, gaining 120 points or 0.45 per cent to close at a fresh peak of 27,139.94.

The broader Nifty at the NSE rose by 31.55 points to close at 8,114.60 points. Rise in IT, technology and realty stocks lifted the markets. The IT index at BSE rose by 2.5 per cent followed by the technology index that was up by 2.2 per cent. Infosys was the biggest Sensex gainer as the scrip rose by 3.4 per cent. Wipro and TCS gained 3 per cent and 2.5 per cent, respectively.

Foreign institutional investors pumped in a net of Rs 1,288.6 crore in Indian equities on Wednesday lifting the stocks. Softening of global crude prices, too, boosted domestic markets sentiments as the Nifty hit an intra-trade high of 8,141.90 points, while the Sensex hit a lifetime high of 27,225.85 during the day.

On the global front, while Hong Kongs Hang Seng jumped 2.3 per cent, Shanghai Composite rose by 1 per cent. The European markets were up by over 1 per cent. While the CAC-40 in France picked up 1 per cent, Russias benchmark MICEX jumped 3.5 per cent and Dax in Germany rose 1.3 per cent on Wednesday.

Global markets showed positive signs as tensions in Ukraine eased. Softer crude oil prices further maintained positive momentum on the bourses, said Nidhi Saraswat, senior research analyst, Bonanza Portfolio.

Rupee hits one-Month high at 60.33/$

* The BSE index has now gathered over 825 points in nine straight sessions

* IT, realty, teck metal and capital goods stocks were in keen demand while some counters from FMCG, banking and power segments suffered losses

* Snapping a four-session losing trend, the rupee on Wednesday hit one-month high of 60.33 during the day before closing higher by 19 paise at 60.49/$ on weakening of the dollar amid reports of Russia and Ukraine agreeing to a ceasefire

Gold dips below R28K on weak global cues

New Delhi: Continuing its losing streak for the fourth straight day, gold prices dipped below the Rs 28,000-level by falling Rs 70 to hit over two-month low of Rs 27,950 per 10 grams in the New Delhi on Wednesday on sustained selling by stockists amid a weakening global trend.

Silver also fell by Rs 350 to Rs 42,350 per kg on reduced offtake by coin makers. Sentiments remained bearish as gold and silver tumbled to the lowest since June in global markets as US manufacturing in August expanded at the fastest pace in three years, bolstering prospects for the economy and dampening demand for the metal, traders said.