Bajaj Finserv tops the Sensex Winner Rankings.
BSE Sensex climbed 958 points to a new lifetime high on Thursday, propelled by widespread buying amid a positive trend in global equities despite hawkish comments from the US Fed.
The rupee’s robust gains further boosted sentiment, traders said.
Reversing the lethargy of the previous session, the 30-stock BSE Sensex rose 958.03 points or 1.63% to close at a record high 59,885.36. It hit a new high of 59,957.25 during the day.
Likewise, the broader NSE Nifty index climbed 276.30 points or 1.57% to its new closing high of 17,822.95, after hitting an intraday high of 17,843.90.
Bajaj Finserv topped the Sensex winner rankings, climbing 5.15%, followed by L&T, HDFC, Axis Bank, SBI, Reliance Industries (RIL) and IndusInd Bank.
The heavyweights of the RIL index and the HDFC twins accounted for almost half of the benchmark’s gains.
Only five wickets closed in the red – Dr Reddy’s, ITC, Nestlé India, HUL and Bharti Airtel, slipping up to 1.07%.
“Amid a strong start, the bulls showed no signs of weakness to soar, boosted by strong global signals and large-scale buying led by real estate stocks, metals and banks. Markets. global optimism has tempered despite a slightly hawkish tilt from the Federal Reserve suggesting that the US central bank will start cutting asset purchases in November and complete the downsizing process around mid-2022. “
“However, investors remain on the verge of waiting for clarification on the Chinese economy. The domestic reality sector has continued its rally sparked by the recovery in demand in the real estate sector,” said Vinod Nair, head of research at Geojit Financial Services.
Devang Mehta, head of equity advice, Centrum Broking, said the market followed the US Fed’s statement to start declining as early as November on its heels.
“… today’s rally was symbolic of the strong feeling that prevails locally on the back of the reduction in COVID cases and high vaccination numbers. With improving economic activity and optimism around from the upturn in the investment cycle, the earnings trajectory for India Inc will naturally get a big boost.
“Most of the companies that are the market leaders in their respective fields have seen their operational efficiency and productivity improve and have also been able to reduce their debt with a significant gain in market share. Liquidity remains extremely strong, whether it is foreign portfolio investors, local mutual funds. , insurance companies, family offices, HNIs or even individual investors, ”he noted.
At the sector level, the BSE realty, bankex, energy, finance, capital goods and industrial indices rebounded to 8.71%, while FMCG closed in the red.
BSE’s larger mid- and small-cap gauges followed the benchmarks, reaching 1.28%.
Global stocks maintained their bullish trajectory even after US Federal Reserve Chairman Jerome Powell said the central bank would likely start cutting asset purchases as early as November, and also hinted at rate hikes from next year.
Investors have also been watching China’s Evergrande debt crisis, with the real estate major due to make the bond interest payment later Thursday.
In Asia, the Shanghai and Hong Kong stock exchanges ended higher, while Seoul was in the red. The Japanese market was closed for the holidays.
European stock markets were also in the positive zone in the afternoon trading.
Meanwhile, international benchmark Brent crude oil slipped 0.12% to $ 76.10 a barrel.
The rupee rebounded 23 paise to close at 73.64 (tentative) against the US dollar.
Foreign institutional investors were net sellers in the capital market on Wednesday as they shed shares worth 1,943.26 crore, according to exchange data.