The benchmark equity indices -- Sensex and Nifty -- rallied to record highs on Wednesday, with both indices closing at record closing highs.
The benchmark equity indices — Sensex and Nifty — rallied to record highs on Wednesday, with both indices closing at record closing highs. The indices surged on hectic buying by foreign investors in banking, IT and auto stocks amid positive trends from global markets. Sensex surged 199.31 points to close at lifetime of high of 41,020.61, while Nifty rose 63 points to record 12,100.70. Yes Bank was the biggest gainer in the Sensex pack, followed by SBI, Maruti, Sun Pharma 1.87 per cent and HUL. On the other hand, L&T was the top loser, followed by ICICI Bank, ITC, Tata Steel, NTPC and Axis Bank.
“We reiterate our bullish view on the index and suggest continuing with “buy on dips” approach. Almost all the sectors, barring IT, are contributing to the move and we feel under owned sectors viz. PSU banks and pharma can positively surprise the participants. The broader indices too are showing sign of recovery but we’re seeing selective buying thus traders should maintain positive yet cautious approach while choosing stocks from the midcap and smallcap pack”, Ajit Mishra, VP – Research, Religare Broking said.
The foreign investors purchased shares worth Rs 4,677.75 crore on a net basis on Tuesday, provisional exchange data showed. Short-covering ahead of the expiry of November derivatives contracts on Thursday also contributed to the rally, traders told the news agency PTI.
On Tuesday, the S&P BSE Sensex ended at 40,821 levels, down 68 points or 0.17 per cent while NSE’s Nifty50 index settled at 12,038, down 36 points or 0.30 per cent. On the currency front, the rupee appreciated 15 paise (intra-day) against the US dollar to 71.35. The brent futures, the global oil benchmark, rose 0.18 per cent to USD 63.33 per barrel.