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Sensex rises 60 pts, Nifty tops 12,350; midcaps, smallcaps extend rally

Mumbai: Benchmark equity indices ended Thursday’s session on a positive note, buoyed by gains in world equities.

On the domestic front, investors focussed on the upcoming Union Budget, and December quarter corporate report cards.

The 30-share Sensex closed 0.14 per cent or 60 points higher at 41,933, while the 50-share Nifty rose 0.09 per cent or 13 points to settle at 12,356. Both BSE Sensex and NSE Nifty scaled record intraday high levels.

Earlier in the day, Sensex gained as much as 0.46 per cent or 187 points to hit a record high of 42,059.45 while Nifty too scaled fresh all-time high of 12,389.05, up 0.37 per cent or 46 points.

Market at a glance:

The bulls were in charge as gainers beat losers in the ratio 3:2, meaning for every three stocks that advanced, two declined.

Broader market continued to outperform, with BSE Midcap and BSE Smallcap indices rising 0.77 per cent and 0.78 per cent, respectively.

In the BSE sectoral universe, only two indices BSE Metal and BSE Oil & Gas closed lower. BSE Realty index led the sectoral gainers with a 0.97 per cent rise.

In the Sensex kitty of stocks, 12 of 30 Sensex stocks closed higher.

Oil-to-telecom conglomerate Reliance Industries contributed the most – to Sensex’s gains. It rose 0.90 per cent ahead of its December quarter earnings on Friday. Nestle India, Kotak Mahindra Bank and HUL were among the top gainers, rising up to 3 per cent.

Meanwhile, NTPC, Hero MotoCorp and Tata Steel were the worst laggards.

Shares of Bharti Airtel and Vodafone Idea rose 1.34 per cent and 0.50 per cent, respectively on the back of hopes of a relief from the Supreme Court against an earlier verdict on adjusted gross revenue (AGR). They had gained up to 5 per cent in early trade.

Wockhardt climbed 5.71 per cent after the pharma company received Indian regulatory approval for its two new antibiotics.

Analysts’ views:

“The main indices are seeing a mild pause in the trajectory after the solid performance in the last one-month. It may wait and analyse the upcoming key companies’ Q3 results. Globally the completion of the US-China deal and sudden jump in consumer inflation and NPAs in India are impacting the main indices. But the broader market is still very solid in expectation of re-rate in valuation supported by revamp in earnings growth.”

— Vinod Nair, Head of Research, Geojit Financial Services

“We’re seeing rotational buying on the sectoral front which is helping the index to inch gradually higher. However, the actual gains are in the broader markets where we’ve seen a noticeable recovery in the last two months or so. We believe domestic factors viz. earnings and budget expectations will continue to dictate the market trend in the near future so keep a close eye on announcements for cues.”

— Ajit Mishra, VP – Research, Religare Broking

Global markets:

World stocks inch ahead to a record high after the United States and China signed an initial deal to defuse their 18-month trade war, though financial markets were wary as a number of thorny issues remained unresolved, Reuters reported.

MSCI’s broadest index of world stocks firmed 0.03 per cent in Asia after closing at a record level on Wednesday while its index on Asia-Pacific shares outside Japan rose 0.13 per cent.

Source: Economic Times