Sensex tops 20K, analysts urge caution

The benchmark Bombay Stock Exchange Sensex on Friday posted its highest closing in more than three months at 20,082.62, as cash flow into equities continued across the globe.

The benchmark Bombay Stock Exchange Sensex on Friday posted its highest closing in more than three months at 20,082.62, as cash flow into equities continued across the globe.

HT Image

The BSE 30-stock sensitive index, which has been hovering around 20,000 for the entire week, closed above the psychological mark on positive domestic industrial production numbers and global cues. The broader 50-stock National Stock Exchange Nifty closed 74 points up at 6,094.75 on Friday after breaching 6,100-levels intraday.

“Flow of money continues as globally there are fresh allocations into equities,” said Deven Choksey, MD, KR Choksey Shares & Securities. “But this rally is not backed by any fundamental changes. It is driven more by trading money.”