Markets rise to 3-week high on budget expectations
Indian markets on Tuesday rose to nearly three-week highs with the benchmark Sensex jumping 184.38 points to end at 29,320.36 and the Nifty index gaining 59.75 points to close at 8,869.10 on hopes of growth-oriented Budget and firming expectations of rate cuts after inflation slowed.business Updated: Feb 18, 2015 17:57 IST
Indian markets on Tuesday rose to nearly three-week highs with the benchmark Sensex jumping 184.38 points to end at 29,320.36 and the Nifty index gaining 59.75 points to close at 8,869.10 on hopes of growth-oriented Budget and firming expectations of rate cuts after inflation slowed.
Besides, global cues were positive as Asian and European stocks ended higher amid speculation Greece will resolve its standoff with creditors, said equity brokers.
The BSE Sensex resumed higher at 29,136.07 and shot up further to 29,411.32 before closing at 29,320.26, showing a gain of 184.38 points or 0.63%. This its highest since closing at 29,681.77 on January 29, 2015.
In six days, the BSE blue-chip index has gained 1,092.84 points, or 3.87%.
"Falling crude prices and relief amidst tensions over Greek economy, mixed sentiments amongst domestic market players due to constant flow of news and events related to Union budget kept markets in a bullish tone," said Bonanza Portfolio, Senior Vice President, Rakesh Goyal.
Major Sensex gainers were HDFC (2.96%), Tata Power (2.50%), TCS (1.88%), Tata Motors (1.59%), M&M (1.52%), NTPC (1.32%), ICICI Bank (1.23%) and Wipro (1.09 %). As many as 20 of 30 Sensex constituents rose.
However, Hero Motocorp dropped by 5.09% after Hero Group sold 70 lakh equity shares for over Rs 1,800 crore. Sesa Sterlite (3.19%), Bharti Airtel (2.43%) and
ONGC (2.32%) were among the major laggards.
Meanwhile, the 50-share NSE Nifty also rallied further by 59.75 points or 0.68% to close at 8,869.10.
In the broader market, defence shares like BEL, BEML, Pipavav Defence rose after Prime Minister Narendra Modi promised steps to boost domestic defence industry.
Globally, European stocks edged higher in their early trade amid hopes Greece can secure a deal with its creditors.
Indices in the UK, France and Germany were up 0.13-0.86%. Asian stocks ended higher tracking gains in the US as 0fears eased over Greece leaving the eurozone. Benchmark indices in Hong Kong, Indonesia, Japan and Singapore were up 0.19-1.18%.