Sensex, Nifty rise to new peaks on global stimulus, reform hopes
Continuing their record-breaking run, benchmark Sensex on Monday surged 165 points to 28,500 and Nifty index rose 53 points to end above 8,500 mark on hopes of big-bang reforms in the ongoing winter session and growing expectations of more stimulus measures from China and Europe.business Updated: Nov 24, 2014 18:18 IST
Continuing their record-breaking run, benchmark Sensex on Monday surged 165 points to 28,500 and Nifty index rose 53 points to end above 8,500 mark on hopes of big-bang reforms in the ongoing winter session and growing expectations of more stimulus measures from China and Europe.
Led by smart gains in Infosys, ICICI Bank, HDFC Bank and TCS, both the key indices also hit fresh record intra-day highs of 28,541.96 and 8,534.65.
Good capital inflows helped them extend gains for the third straight trading session. Short-coverings ahead of the expiry of November contract on Thursday and rolling over of positions to next series also aided the market sentiment, brokers said.
IT, Metal, Realty, Banking and Teck scrips attracted buying while some refinery and pharma stocks saw selling. "Sentiments were positive from early trades, mainly driven by China's surprise move to cut interest rates for the first time in more than 2 years. Furthermore, sustained inflows on expectations of more economic reforms by government and firm global cues also gave a boost," said Jayant Manglik, president-retail distribution, Religare Securities.
The benchmark BSE S&P BSE 30-share Sensex on Monday resumed higher and registered its intra-day historic peak of 28,541.96. It settled at a new closing high of 28,499.54, up by 164.91 points or 0.58%.
In straight three trading sessions, it has risen by 466.69 points or 1.66%. "ECB's clear decision on quantitative easing to spur the European economy also gave a boost to markets," said Rajshekar Gowda, senior analyst, HBJ Capital.
The wide-based 50-issue CNX Nifty of the NSE also touched its fresh intra-trade high of 8,534.65 and ended at yet another new closing peak of 8,530.15, showing a rise of 52.80 points or 0.62%.
IT stocks saw demand after IT major Infosys set December 3, 2014 as record date for a liberal 1:1 bonus issue. Metal counters were in the limelight buoyed by the rate cut news from China, which is one of the biggest consumers of commodities. All Asian markets, except Singapore, closed up. European stocks too were trading firm in late morning deals.