Rama Krishna Sangem
India’s market yardstick BSE Sensex briefly breached the all time record mark – 64,000 – on June 28, Wednesday, before closing at 63,915. This shows the day is not far when Sensex will touch 70,000 mark – which trade pundits predict to happen by Diwali, if not earlier, this year.
The bulls had a field day on Wednesday with the key benchmark hitting record highs on the back of all-round buying support. Positive cues from the global markets, consistent FII buying and a dip in Crude Oil prices boosted the sentiment.
The S&P BSE Sensex rallied past the 64,000 mark to hit a new all-time high at 64,050.44. The BSE benchmark eventually ended with a gain of 499 points at 63,915. The NSE Nifty 50 topped the 19,000-mark for the first-time ever and registered its new peak at 19,011.25. The Nifty finally ended at 18,972, up 155 points.
The 50-share index hit a new high after 142 trading sessions. Historically, the index has delivered an average return of over 32 per cent from its most recent low since 2018. So will the Nifty topple the 20,000-mark in the current rally. Similarly, the Bank Nifty too scaled a fresh record high at 44,508, and finished 206 points higher at 44,328.
Domestic markets strong
“After multiple attempts, the domestic market successfully managed to sustain record high levels, thanks to the increased buying interest in heavyweight stocks. The market’s bullish momentum was further supported by strong FII inflows and a narrowing current account deficit, both of which positively impacted investor sentiments. The gains were widespread, with the pharma and metal sectors leading the way as top performers, outshining other sectors,” said Vinod Nair, Head of Research at Geojit Financial Services in a note.
Tata Motors and Sun Pharma were the top gainers among the Sensex 30 stocks, up over 2 per cent each. Titan, NTPC, Larsen & Toubro, IndusInd Bank, Reliance Industries, UltraTech Cement, Infosys and HDFC Bank also logged smart gains. Tech Mahindra down a per cent was among the few notable losers.
Among the Nifty 50 shares, Adani Enterprises rallied over 5 per cent on the back of heavy volumes. The upmove came as the promoter entities of Adani group sold part of their stake in Adani Green Energy and Adani Enterprises to raise $1 billion.
In the broader market, the BSE MidCap index gained in tandem with the BSE benchmark and was up 0.7 per cent. Whereas, the SmallCap index lagged and settled with minor 0.1 per cent gain.
