India’s equity market has benefited from foreign investors pumping $13.3 billion into the nation’s stocks this year, more than exceeding the highest annual inflows since 2014 and driving most of the Sensex’s 14% gain in 2019.
India’s benchmark stock gauge rose as investors joined a rally that sent stocks higher in most regional markets, buoyed by the U.S. suspension of additional tariffs on China. The S&P BSE Sensex Index advanced 0.7% to 41,220.90 as of 10:44 a.m. in Mumbai, set for another record-high close. The NSE Nifty 50 Index also climbed 0.7%. Stocks edged higher from Tokyo to Shanghai after the S&P 500 Index closed at an all-time high.
India’s equity market has benefited from foreign investors pumping $13.3 billion into the nation’s stocks this year, more than exceeding the highest annual inflows since 2014 and driving most of the Sensex’s 14% gain in 2019. Still, a new law placing restrictions on citizenship may further impede an economy that’s growing at the slowest pace in more than six years.
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“The market will remain in a good mood because of the global environment, but there will be pockets of profit-booking because there are no further triggers in the next two weeks,” said Umesh Mehta, head of research at Samco Securities Ltd. in Mumbai.
- Fourteen of 19 sector indexes compiled by BSE Ltd. rose, led by a gauge of automotive-related companies.
- Tata Steel Ltd. climbed 3.3%, the most on the Sensex as Citi raised its rating to buy from sell. Infosys Ltd. was the biggest boost.
- Sun Pharmaceutical Industries Ltd. was the biggest drag and loser, with a 1.1% drop.