Equity markets surge on positive global cues


Mumbai, Sep 6 (IANS): Positive global cues and healthy inflow of foreign funds pushed the Indian equity markets to new intra-day highs during the mid-afternoon session on Tuesday.

Both the key indices traded in the green with gains of over a percentage each, as healthy buying was witnessed in all the 19 sub-indices of the BSE, led by stocks of banking, automobile and consumer durables.

The wider 51-scrip Nifty of the National Stock Exchange (NSE) surged by 92.05 points, or 1.04 per cent to 8,901.70 points. This is the first time after March 5, 2015 that the index crossed the 8,900 points level. 

The barometer 30-scrip sensitive index (Sensex) of the BSE, which opened at 28,631.27 points, traded at 28,840.63 points (at 2.30 p.m.) -- up 308.52 points, or 1.08 per cent from the previous close at 28,532.11 points.

The Sensex has so far touched a high of 28,866.08 points and a low of 28,631.27 points during the intra-day trade. 

The BSE market breadth was tilted in favour of the bulls -- with 1,590 advances and 1,061 declines.

On Friday last week, the key indices had closed with substantial gains due to buying support.

The barometer index had gained 108.63 points, or 0.38 per cent, while the NSE Nifty edged up by 35 points or 0.40 per cent.

The Indian markets were closed on Monday on account of Ganesh Chaturthi.

"The equity markets have touched new highs of the year since March 2015," Anand James, Chief Market Strategist at Geojit BNP Paribas Financial Services told IANS.

"The global markets were largely positive on lower chances of a US rate hike. Moreover, healthy inflow of foreign funds gave a positive momentum to the domestic markets."

According to Dhruv Desai, Director and Chief Operating Officer of Tradebulls, the CNX Nifty held the initial gains and traded firm.

"IT stocks faced some profit booking at higher levels, while most banking, auto and pharma stocks traded with firm sentiments," Desai said.

"Aviation stocks traded down on higher crude oil prices and lack of buying support from traders. FMCG (fast moving consumer goods) stocks traded firm, while oil and gas sector stocks traded with mixed sentiments on profit booking."

  

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