The market continued its uptrend and scaled to near record high levels on Tuesday, tracking positive lead from global peers as worries about Korean Peninsula and the potential impact of Hurricane Irma on the US faded.
The market continued its uptrend and scaled to near record high levels on Tuesday, tracking positive lead from global peers as worries about Korean Peninsula and the potential impact of Hurricane Irma on the US faded. The rally was also ahead of release of July industrial output and July retail inflation data later today.
The 30-share BSE Sensex closed above the psychological 32,000 level for the first time since August 8, up 276.50 points or 0.87 percent at 32,158.66.
The 50-share NSE Nifty rallied 87 points or 0.87 percent to 10,093.05, which is 44 points away from its record high of 10,137 hit on August 2.
The broader markets continued to outperform benchmarks on value buying after recent correction. The Nifty Midcap index ended at record closing high again, up 1 percent.
Bulls gained strength also on hope of double digit earnings growth in September quarter. Experts expect this upside to continue in near term and the market to hit fresh record highs soon.
Global research house CLSA said there is a possibility of double digits earnings growth in September quarter itself.
"The short term trend of Nifty is positive and there is a possibility of some more upmove for short term," Nagaraj Shetti, Technical Research Analyst at HDFC securities said.
He added that the area of 10150-180 levels is going to be a tough task for the market and that could possibly lead to reversal from the highs in the next few sessions.
On the global front, European markets like France's CAC and Germany's DAX were up 0.6 percent at the time of writing this article. Asian markets also closed higher, with Japan's Nikkei rising over a percent on easing of worries over North Korea and the potential impact of Hurricane Irma in US.
Back home, all sectoral indices ended in the green. Nifty Pharma, Energy, Auto, FMCG and PSU Bank gained the most, up 1-2 percent.
Nifty's 8 out of 50 stocks closed lower. IndusInd Bank lost nearly 3 percent on profit booking after a 5.6 percent rally in previous session.
Oil & gas stocks continued to gain after renegotiation of gas deal with Australia. GAIL surged 3.8 percent while BPCL was up 4 percent after getting Maharatna status. IOC was up 1.4 percent.
Healthcare stocks were back in action. Divis Labs rallied 12 percent on likely re-inspection of unit II that received import alert from USFDA in March 2017. Sun Pharma and Aurobindo Pharma gained also 2-3 percent.
Larsen & Toubro was up over a percent on receiving orders worth Rs 2,525 crore.
Among other largecaps, ITC, Tata Motors, HDFC Bank, HDFC, Reliance Industries and TCS were up 0.7-1.5 percent while Wipro, Hero Motocorp, Indiabulls Housing and ONGC were down 0.5-1 percent.In the broader space, Adani Power, Voltas, Ipca Labs, JSW Energy, Emami, HPCL, Indraprastha Gas, Godrej Industries and Piramal Enterprises rallied 2-6 percent.