Sensex rises 304 points, Nifty closes at 10,947; RIL, YES Bank, Coal India top gainers
The market rose for the third straight day on optimism over corporate earnings in the first quarter and positive global cues. While the Sensex rallied about 305 points to end at an over 5-month high of 36,239, Nifty rose 94 points to 10,947 level. The Sensex has now gained 665 points in three sessions. The benchmark is just a tad lower from its all-time high of 36,283 hit on January 29 this year.
The Sensex and Nifty remained above their key levels of 36,000 and 10,900 throughout the session, indicating robust investor optimism after a prolonged lacklustre spell.
"Most of the gains can be attributed to markets doing well globally. There may be some impact from weakening of the dollar as that may lead to some money coming back to emerging markets," Neeraj Dewan, Director at Quantum Securities said, adding that the market is expecting a good earnings season this quarter.
"Crude concerns, however, linger on."
Reliance Industries (3.02%), YES Bank (2.58%) and Coal India (2.56%) were the top Sensex gainers.
The Reliance Industries stock was the top Sensex gainer after international brokerages gave a thumbs up on the prospects of the stock. The stock closed 30.10 points higher at 1025.75 level becoming the top gainer on Sensex. It opened at 1001 level and hit an intra day high of 1028.50 in trade.
Market breadth was positive with 1676 stocks closing higher compared with 962 ending in the red on BSE.
VK Sharma, Head, Private Client Group and Capital Market Strategy at HDFC Securities said, " The Nifty registered another gap up as it closed with gains of 94 points or 0.87% to close at 10, 947, a level not seen by the benchmark in 5 months. The Nifty is now just 183 points or 1.8% from its all-time closing peak of 11,130 registered on 29th of January, earlier this year.
The only obstacle standing between the Nifty and its all-time high is Crude Oil. If Crude Oil does not go up, we could have a new high in this series itself."
The BSE midcap and small cap indices clocked 1.01% and 1.04% gains, fuelling rise on benchmark indices.
Auto and metal stocks led the gains with BSE bankex and BSE metal indices rising over 200 points each.
Of 19 BSE sectoral indices, 18 ended higher. BSE healthcare sector falling 20 points was the sole loser among the indices.
Deepak Parekh-led financial services conglomerate HDFC group saw the market capitalisation of its listed firms cross Rs 10 lakh crore mark, making it only the second Indian business house after Tatas to achieve this feat.
Shares of HDFC Bank rose by 1.31 per cent to close at Rs 2,149, HDFC 1.54 per cent to Rs 1,939.20, HDFC Standard Life 0.51 per cent to Rs 476.70 while Gruh Finance fell by 0.96 per cent to Rs 341.35 on the BSE.
Domestic institutional investors (DIIs) picked up shares worth a net Rs 740.39 crore on Monday, while foreign portfolio investors (FPIs) offloaded equities to the tune of Rs 569.91 crore, provisional data showed.
World markets were mostly higher on Tuesday, trading in a narrow range, as positive economic data from Britain and beyond soothed jitters over the resignation of two of its top ministers over Brexit.
France's CAC 40 rose 0.3 percent to 5,412.82, while Germany's DAX shed less than 0.1 percent to 12,540.15 in early trading.
Britain's FTSE 100 edged 0.1 percent higher to 7,695.04. Major US indexes were set to open higher. Dow futures added 0.1 percent to 24,804.00. S&P 500 futures gained 0.1 percent to 2,789.20. The S&P 500 index has climbed at least 0.8 percent for the third straight day.
Japan's benchmark Nikkei 225 added 0.7 percent to 22,196.89 and South Korea's Kospi gained 0.4 percent to 2,294.16. The Shanghai Composite index finished 0.4 percent higher at 2,827.63. Hong Kong's Hang Seng dipped less than 0.1 percent to 28,682.25. Australia's S&P/ASX 200 dropped 0.4 percent to 6,258.10. Shares rose in Taiwan and were mostly higher in Southeast Asia.