Closing Bell: Sensex, Nifty end at fresh record closing high led by RIL; auto, metal stocks gain

Taking Stock | Market Remains On Record-setting Spree; Experts See 58,700 Immediate Target For Sensex

Benchmarks Sensex and the Nifty hit fresh record highs of 58,194.79 and 17,340.10, respectively, in intraday trade.... Read More

Sensex has gone past 58000 to close the day at 58128, and the Nifty too comfortably rose to 17323. The rise was witnessed across market caps and sectors, though the uptick in midcaps and small caps was a bit muted. The improving general pandemic conditions, the GDP number indicating a continuing revival in economic activity, the increased confidence in facing a potential third wave, the stress on universal vaccination, and finally, the indications from Jackson Hole address by the Fed Chief that tapering off may start as early as later this year but rate hikes may happen much later next year, are the factors which supported the rally in the markets.

The developments around the US economy, the revival of activity in Europe - both in the face of rising numbers of fresh infections -would also be factors that would matter in the coming week.

Buying action continued as positive global markets are helping the sentiment to remain bullish in local markets. Benchmark Sensex touched a new high to close above 58000-mark while Nifty sustained above the psychological 17000 levels. Technically, the index has formed a strong bullish candle on weekly charts which is broadly positive.

On daily and intraday charts, it also maintains a breakout continuation formation indicating further uptrend from current levels. While the short-term trend remains positive, some profit booking could be in the offing as traders may prefer to book some profits near the 17500 resistance level.

For the trend following traders, 17150 and 17000 could be the important support level, while on the flip side, 17500 and 17700 could act as an important resistance level for the market. In the meantime, on weekly charts, the Bank Nifty has formed a range breakout formation, suggesting further upside if the index succeeds to trade above 36000.

Markets ended with gains of nearly half a percent amid volatility. After the positive start, the benchmark hovered in the range till the end and finally settled around the upper band of the same. Meanwhile, movement on the stock-specific kept the traders busy. At one end, the surge in heavyweights such as Reliance Industries aided the market to rally while profit booking in FMCG and financials stocks capped the upside. Finally, the Nifty ended near day’s high at 17,324 levels, up by 0.5%. The broader markets too ended higher in the range of 0.4-0.5%.

We remain cautiously optimistic on the markets and suggest focusing on identifying stocks as we’re seeing selective participation now. Going ahead, along with global markets, participants would keep a close watch on domestic macroeconomic data i.e. CPI, IIP for cues.

Despite mixed global cues, domestic equities continued to raise its bar, recording fresh highs as India continued reporting strong economic numbers. European stocks traded mixed ahead of US jobs data while concerns over economic slowdown in China fanned investor worries. The Indian Service PMI data rose to 56.7 in August from 45.4 in July on account of reopening of several establishments and improving demand that boosted sales.

Benchmark indices ended at fresh record closing high levels on September 3 led by the Reliance Industries.

At close, the Sensex was up 277.41 points or 0.48% at 58,129.95, and the Nifty was up 89.40 points or 0.52% at 17,323.60. About 1624 shares have advanced, 1469 shares declined, and 144 shares are unchanged.

Reliance Industries, ONGC, Coal India, IOC and Titan Company were the top Nifty gainers. HDFC Life, Cipla, Bharti Airtel, HUL and HDFC Bank were among the top losers.

Except FMCG, all other sectoral indices ended in the green with Nifty Auto, Metal and Energy indices up 1-2 percent. BSE midcap and smallcap indices gained 0.3-0.4 percent.

The market witnessed some volatile movements and an attempt to hold the level around the Nifty 50 Index level of 17300. It is suggested that the market sustains above the level of 17200-17250, the market to gain momentum, leading to an upside projection till 17400-17450 level. The momentum indicators like RSI and MACD to stay positive and market breadth to improve, further strengthening a short-term bullish outlook.

Indiabulls Housing Finance will launch a public issue of bonds next week to raise up to Rs 1,000 crore, the company said on Friday.

The public issue is of secured/and or unsecured, redeemable, non-convertible debentures of face value of Rs 1,000 each, Indiabulls Housing said in a release.

The tranche I issue will open on September 6 and close on September 20, 2021. The tranche I issue will open on September 6 and close on September 20, 2021.

Indiabulls Housing Finance was quoting at Rs 231.15, down Rs 1.65, or 0.71 percent on the BSE.

Today BSE benchmark Index Sensex touched 58000 mark for first time. The rally is driven by rally in IT, Pharma & Metals stocks. Markets is making new highs daily, in the long term we are bullish however after such move markets might show some correction. Investors are advised to keep trailing stop losses to their positions.

Specialty chemical company Ami Organics' initial public offering continued to see healthy demand from investors as it has been oversubscribed by 41.17 times on September 3, the final day of bidding.

The public issue has received bids for 28.83 crore equity shares against the IPO size of 65.42 lakh equity shares, subscription data available on exchanges showed.

Retail investors have put in bids for 11.99 times their reserved portion, while the portion set aside for non-institutional investors was subscribed 107.32 times and that of qualified institutional buyers saw 52.90 times subscription.

The initial public offering of Vijaya Diagnostic Centre, a leading diagnostic chain in south India, is subscribed 3.36 times so far as it has received bids for 8.39 crore equity shares against IPO size of 2.50 crore equity shares on September 3, the final day of bidding.

Retail investors have put in bids for 100 percent of the portion reserved for them and employees' bids stood at 78 percent of the portion set aside for them.

The part set aside for qualified institutional buyers is subscribed 9.73 times and that of non-institutional investors has seen 41 percent subscription.

Benchmark indices were trading firm in the last hour on the today's session with Sensex around 58,000.

The Sensex was up 239.72 points or 0.41% at 58,092.26, and the Nifty was up 76.40 points or 0.44% at 17,310.60. About 1583 shares have advanced, 1357 shares declined, and 114 shares are unchanged.

Oil prices were mixed on Friday after a strong rise in the previous session on a weaker dollar and a fall in U.S. crude stocks and were set for modest weekly gains ahead of a highly anticipated U.S. monthly jobs report.