After rallying over 265.54 points to trade at 38,938.45 in the early session, the Bombay Stock Exchange (BSE) benchmark Sensex closed at 38,837.18 climbing 164.27 points on Monday, The index in the early hours crossed the 39,000 mark creating a new record before closing.
The boost in the trading index is being cited to the expectations of a rate cut by the Reserve Bank of India (RBI), Economic Times reported.
The Sensex gains were led by metal, auto, energy and infra sector stocks amid positive global cues. Similarly, the NSE Nifty settled the day at 11,655.60, rising 31.70 points, or 0.27 per cent, over its previous close. The broader index gave up crucial gains after breaching the key 11,700-mark. The rally at Sensex was driven by Tata Motors, Vedanta, Bharti Airtel, Maruti, Reliance Industries, Tata Steel, Larsen and Toubro and HCL Tech. The scrips of these firms rose as much as 7.37 per cent, PTI reported.
Hopes of development in US-China trade talks also strengthened to global markets which boosted the rally at the BSE. China and the US gave signs of some progress in their last week’s discussions on the trade tariff tussle, with another round of talks scheduled to be held this week in Washington.
China’s Shanghai Composite Index moved up 2.58 per cent, Hong Kong’s Hang Seng rose 1.66 per cent, Japan’s Nikkei climbed 1.43 per cent and South Korea’s Kospi was 1.29 per cent higher.