The National Stock Exchange Nifty index on Friday rose to a fresh all-time closing high, as investors cheered strong earnings by Indian companies in April-June quarter and domestic institutions stepped up purchases in the wake of easing of US-China trade war and recovery in Turkish Lira. The BSE Sensex rose 284 points and the Nifty index climbed 86 points to record closing high of 11,470.75.
“Indian markets are largely ignoring the rhetoric of global trade wars and rupee depreciation. Dissecting the earnings for the quarter just gone by, there was a clear evidence in terms of pickup in activity and management commentary of a number of corporates was positive.
Quality stocks are seeing more buying interest on every smaller fall, in turn making those more expensive and taking markets to new highs,” said Devang Mehta, head -equity advisory, Centrum Wealth Management.
The 30-share Sensex stayed in the green throughout the session and hit the day’s high of 38,022.32 on a flurry of buying. It finally ended at 37,947.88, up 284.32 points, or 0.75 per cent. The broader NSE Nifty spurted 85.70 points, or 0.75 per cent, to end at a new record of 11,470.75. It surpassed its previous closing high of 11,470.70 hit on August 9.
The rupee was not traded as the forex market remained closed.
Yes Bank was the top gainer in the Sensex pack, surging 3.76 per cent, followed by SBI at 3.18 per cent. Other prominent gainers included Vedanta 3.09 per cent, HUL 2.63 per cent, Tata Motors 2.47 per cent, ITC 2.27 per cent, Tata Steel 2.20, ICICI Bank 1.67 per cent, Kotak Bank 1.45 per cent, M&M 1.24 per cent and Adani Ports 1.08 per cent. However, Hero MotoCorp fell 1.14 per cent, ONGC 0.61 per cent, Maruti Suzuki 0.58 per cent, Coal India 0.44 per cent, PowerGrid 0.35 per cent and Bajaj Auto 0.23 per cent.
Jayant Manglik, president, Religare Broking, said, “markets ended with decent gains, largely in response to improved global sentiment. The news of easing in trade-war scenario between the US and China and recovery in Turkish lira led to a good start, which was further supported by buying interest in index majors from across the board. Almost all the sectoral indices contributed to the move and a similar trend was witnessed on the broader front too.”
“The market needs some fresh triggers for momentum and it could be from the global front. We advise keeping a close watch on world markets for further cues along with prevailing earnings season,” Manglik said.
Except oil and gas, all sectoral indices, ended in the green. The BSE FMCG index rose 1.79 per cent, metal 1.71 per cent, bankex 1.27 per cent, healthcare 1.25 per cent, consumer durables 0.89 per cent, PSU 0.87 per cent, finance 0.84 per cent, realty 0.71 per cent, power 0.70 per cent, capital goods 0.60 per cent, IT 0.51 per cent, teck 0.48 per cent, auto 0.43 per cent and infrastructure 0.13 per cent. Oil and gas shed 0.15 per cent.
Asian shares ended mixed after China and the US agreed to hold their first trade talks since June, while the Turkish lira staged a recovery. Japan’s Nikkei rose 0.35 per cent, Taiwan inched up 0.07 per cent and Hong Kong’s Hang Seng gained 0.42 per cent, while Shanghai Index was down 1.34 per cent.