Indices inch up to fresh peaks
Mumbai: Equity indices ticked higher to new closing highs on Tuesday as smart gains in finance and metal stocks offset profit-booking in FMCG and select banking counters amid mixed global cues.
A depreciating rupee also weighed on the bourses, though investors took heart from the unabated foreign fund inflows, traders said.
The 30-share BSE Sensex recovered from early losses to end just 9.71 points or 0.02 per cent higher at 46,263.17, its new closing record. Similarly, the broader NSE Nifty rose 9.70 points or 0.05 per cent to finish at its fresh all-time high of 13,567.85.
Bajaj Finance was the top performer in the Sensex pack, spurting 4.69 per cent, followed by Bajaj Finserv, HDFC, Tech Mahindra, HDFC Bank, UltraTech Cement and Tata Steel. On the other hand, HUL, Nestle India, ICICI Bank, Axis Bank, SBI, TCS and ITC were among the laggards, shedding up to 2.12 per cent. Asian markets closed lower while European bourses were off to a positive start as fresh lockdowns in multiple countries cooled investor optimism over the Covid-19 vaccines.
"Indian market opened with a negative trend following the weak sentiments of the Asian market, but a strong recovery happened as European market opened positively ahead of policy meetings. "The liquidity-driven rally, which has been heavily depending on foreign funds, will bet a lot on the ongoing FOMC policy meeting and a final decision will be announced tomorrow, and the US stimulus package to be finalised this week.
The outcome of these events are expected to be positive, triggering further positively in the market," said Vinod Nair, Head of Research at Geojit Financial Services. Sector-wise, BSE consumer durables, finance, bankex, metal and basic maetrials indices moved up as much as 1.17 per cent, while FMCG, oil & gas, energy and IT led the losers' chart.
In the broader markets, the BSE midcap index climbed 0.42 per cent, while the smallcap gauge inched up 0.07 per cent. S&P Global Ratings on Tuesday raised India's growth projection for the current fiscal to (-) 7.7 per cent from (-) 9 per cent estimated earlier on rising demand and falling Covid-19 infection rates. (PTI)