Rupee hits new low of 73.34, plunges 43 paise against USD

Rupee hits new low of 73.34, plunges 43 paise against USD

The Indian Rupee crashed below the 73 mark against the dollar for the first time ever on strong demand for the American currency from importers amid rising global oil prices and unabated capital outflows. At the Interbank Foreign Exchange (forex) market, the domestic currency dropped 43 paise to 73.34 against the US dollar in the early trade.

The rupee opened lower at 73.26 and weakened further to quote at 73.34 a dollar against its previous closing of 72.91 Monday. Foreign institutional investors (FIIs) sold shares net worth a net of Rs 1,842 crore Monday, provisional data showed.Image result for Rupee hits

Investors remained concerned over sustained foreign capital outflows and soaring crude oil prices that crossed the USD 85 per barrel. The rupee Monday tumbled 43 paise to end at a two-week low of 72.91 against the US dollar on steady capital outflows.

Forex dealers said besides strong demand for the American currency from importers, concerns of fears of rising fiscal deficit and capital outflows mainly weighed on the domestic currency.

Forex market remained closed Tuesday on account of Gandhi Jayanti. Meanwhile, the BSE benchmark Sensex dropped by 137.62 points, or 0.38 per cent, to 36,388.52 in opening trade Wednesday.

At the Interbank Foreign Exchange (forex) market, the domestic currency dropped 43 paise to 73.34 against the US dollar in the early trade. The rupee opened lower at 73.26 and weakened further to quote at 73.34 a dollar against its previous closing of 72.91 Monday. Foreign institutional investors (FIIs) sold shares net worth a net of Rs 1,842 crore Monday, provisional data showed. Investors remained concerned over sustained foreign capital outflows and soaring crude oil prices that crossed the USD 85 per barrel. The rupee Monday tumbled 43 paise to end at a two-week low of 72.91 against the US dollar on steady capital outflows. Forex dealers said besides strong demand for the American currency from importers, concerns of fears of rising fiscal deficit and capital outflows mainly weighed on the domestic currency. Forex market remained closed Tuesday on account of Gandhi Jayanti. Meanwhile, the BSE benchmark Sensex dropped by 137.62 points, or 0.38 per cent, to 36,388.52 in opening trade Wednesday.

-PTI | 03 October 2018 | New Delhi

Sensex, Nifty touch record levels as rupee recovers

Sensex, Nifty touch record levels as rupee recovers

Positive global cues on easing trade protectionist measures along with an appreciation in the Indian rupee lifted the key equity indices — S&P BSE Sensex and the NSE Nifty 50 — to settle at fresh high levels on Monday.

On a intra-day basis, the BSE Sensex touched a fresh high of 38,340.69 points, while the Nifty50 climbed a peak of 11,565.30 points.

Index-wise, the wider NSE Nifty50 closed at 11,551.75 points, up 81 points or 0.71 per cent from its previous close of 11,470.75 points.

The benchmark BSE Sensex which had opened at 38,075.07 points, closed at 38,278.75 points, higher by 330.87 points or 0.87 per cent from its previous close of 37,947.88 points. It touched an intra-day low of 38,050.69 points.

In the broader markets, the S&P BSE Mid-cap ended higher by 1.05 per cent and the S&P BSE Small-cap rose by 0.14 per cent.

The BSE market breadth was tilted towards the bulls with 1,437 advances and 1,307 declines.

“Positive global stocks, optimism over a trade resolution between the USA and China and strong institutional activity at home fuelled investor sentiment and pushed the bourses to close the day with gains,” Abhijeet Dey, Senior Fund Manager for equities at BNP Paribas Mutual Fund.

The two economic giants are expected to hold lower-level trade talks this month, offering hope that they might resolve an escalating tariff war, Dey added.

Accordingly, major Asian markets closed on a positive note, barring the Nikkei and Straits indices and European indices including FTSE 100, DAX and CAC 40 traded in the green, said Deepak Jasani, Head of Retail Research at HDFC Securities.

Besides, global cues, the appreciation in Indian rupee supported the indices’ upward movement.

On Monday, the Indian rupee appreciated by 33 paise to settle at 69.83 per US dollar, from its record closing low of 70.16 per dollar on the previous trade session.

“The rupee has appreciated today as the US dollar index has witnessed profit booking,” Anand Rathi Shares and Stock Brokers’ Research Analyst Rushabh Maru told IANS.

“There is an optimism in the market that US and China would find a solution for ongoing trade conflict. So that has also supported the rupee.”

Investment-wise, provisional data with exchanges showed that foreign institutional investors sold scrip worth Rs 483.04 crore and the domestic institutional investors purchased stocks worth Rs 593.22 crore.

Sector-wise, the S&P BSE capital goods index rose 668.41 points, the metal index was up 332.36 points and the auto index rose by 244.22 points.

In contrast, the S&P BSE IT index declined by 188.84 points, consumer durables fell 127.24 points and Teck (entertainment, technology and media) index ended lower by 76.07 points from its previous close.

The major gainers on the Sensex were Larsen and Toubro, up 6.74 per cent at Rs 1,323.95; Tata Motors (DVR), up 5.74 per cent at Rs 143.80, Tata Motors, up 4.74 at Rs 269.55; ONGC up 3.34 per cent, at Rs 168.55; and Tata Steel, up 3.24 per cent at Rs 599.40 per share.

The majors losers were Infosys, down 3.22 per cent at Rs 1,385.20; Maruti Suzuki, down 0.79 per cent at Rs 9,075.90; ICICI Bank, down 0.50 per cent at Rs 338.35; Axis Bank, down 0.46 per cent at Rs 624.20; and Hindustan Unilever, down 0.30 at Rs 1,775.40 per share.

-PTI |21 August 2018 | Mumbai

Sensex rises over 100 points, Nifty nears 10,600

Sensex rises over 100 points, Nifty nears 10,600 

The BSE Sensex rose over 100 points in early trade today, continuing its winning spree for the 10th straight session, on positive global leads and sustained buying by domestic institutional investors.
The 30-share index moved higher by 110.13 points, or 0.32 per cent, to 34,505.19. The gauge had gained 1,375.99 points in the previous nine sessions.
SensexAll the sectoral indices, led by metal and healthcare stocks, were trading in the positive territory.  The broader Nifty too opened higher by 30.70 points, or 0.29 per cent, at 10,579.40.
Brokers said continuous buying by domestic institutional investors (DIIs) and retail investors following a firm trend at other Asian bourses, overnight gains on Wall Street, and encouraging economic data strengthened market sentiment.
Major early gainers were Wipro, Yes Bank, Adani Ports, ITC, Asian Paint, Tata Motors, Bharti Airtel, ONGC, Sun Pharma, Tata Steel, TCS, Maruti Suzuki and RIL rising up to 1.47 per cent.
Meanwhile, on a net basis, DIIs bought shares worth Rs 723.81 crore, while foreign funds sold shares to the tune of Rs 951.39 crore yesterday, provisional data showed.

Brokers said continuous buying by domestic institutional investors (DIIs) and retail investors following a firm trend at other Asian bourses, overnight gains on Wall Street, and encouraging economic data strengthened market sentiment. Major early gainers were Wipro, Yes Bank, Adani Ports, ITC, Asian Paint, Tata Motors, Bharti Airtel, ONGC, Sun Pharma, Tata Steel, TCS, Maruti Suzuki and RIL rising up to 1.47 per cent.

Globally, Japan’s Nikkei moved up 1.29 per cent and Hong Kong’s Hang Seng gained 0.27 per cent in early trade today. Shanghai Composite Index, however, shed 0.36 per cent. The US Dow Jones Industrial Average ended 0.87 per cent higher in yesterday.

– PTI/18 April 2018 / Mumbai

Sensex surges 300 points, closes above 35k-mark

Sensex surges 300 points, closes above 35k-mark for first time

Benchmark Sensex soared over 310 points today to close above the 35,000-mark for the first time ever, while the broader Nifty too ended at a fresh life-time high on unabated buying by participants.

The 30-share Sensex jumped 310.77 points, or 0.89%, to end at a new peak of 35,081.82, breaking its previous record of 34,843.51 reached on January 15.Sensex

Intra-day, it climbed to 35,118.61, bettering its previous intra-day high of 34,963.69 reached on January 15. It took 17 sessions for the index to scale the 35,000 mark from 34,000 level reached on December 26.

The broader Nifty surged 88.10 points, or 0.82%, to close at a new peak of 10,788.55, breaking its previous record of 10,741.55 hit on January 15. It also touched an intra-day record of 10,803, surpassing its previous high of 10,782.65 hit on January 15.

Brokers said sentiment got a lift after the government today lowered the additional borrowing requirement for the current fiscal to ₹20,000 crore from ₹50,000 crore estimated earlier.

Foreign portfolio investors (FPIs) bought shares worth a net ₹693.17 crore while domestic institutional investors (DIIs) had sold equities worth a net ₹246.38 crore yesterday, as per provisional data.

According to market observers, optimism around quarterly corporate earnings, along with a surge in banking, healthcare and IT stocks, lifted the equity indices to trade at fresh high levels.

Around 2.45 p.m., the wider Nifty 50 of the National Stock Exchange rose by 59.70 points or 0.56 per cent to trade at 10,760.15 points.
On the BSE, the Sensex traded at 35,023.65 points — up 252.60 points or 0.73 per cent — from its previous session’s close. However, the BSE market breadth was bearish as 1,509 stocks declined against 1,343 advances.
On Tuesday, the benchmark indices closed in the negative zone as sentiments were dampened by higher crude oil prices as well as the country’s widening trade deficit.
The Nifty 50 fell by 41.10 points, or 0.38 per cent to close at 10,700.45 points, while the Sensex closed at 34,771.05 points — down 72.46 points or 0.21 per cent.

-PTI, MUMBAI, JANUARY 17, 2018

Moody’s ups India’s rating to highest since 1991 reforms

Moody’s ups India’s rating to highest since 1991 economic reforms

Global ratings agency Moody’s revised the country’s sovereign ranking to Baa2 from Baa3 – its first upgrade in almost 14 years — citing implementation of a string of economic reforms, including demonetisation and rollout of the goods and services tax. The new rating, India’s highest since the 1991 reforms, comes as a huge boost for the government.

Moody’sThe action looks beyond the present slowdown in economic growth and a surge in bank bad loans, and bets on India’s medium- and longterm growth potential.

The markets cheered, with the rupee, bonds and equities all reacting positively. Although the rupee and the sensex gained over 1% intraday, both retracted some of their gains toward the close. The move comes close on the heels of the sharp improvement in India’s ranking in the World Bank’s ease of doing business survey.

Moody’s gives govt ammo to battle oppn

The ratings upgrade by Moody’s could position India as an attractive investment destination, apart from making it easier for companies to raise resources abroad. The ratings agency highlighted reforms such as the Goods and Services Tax (GST) and demonetisation, which it said would lead to greater formalisation of the economy. Besides upgrading India’s ratings, Moody’s also revised the outlook from positive to stable, indicating that the next upgrade might take a while coming.

“The government is midway through a wide-ranging programme of economic and institutional reforms. While a number of important reforms remain at the design phase, Moody’s believes that those implemented to date will advance the government’s objective of improving the business climate, enhancing productivity, stimulating foreign and domestic investment, and ultimately fostering strong and sustainable growth,” the agency said.

The ratings action comes days ahead of the crucial Gujarat assembly elections where the opposition Congress has sought to portray GST and demonetisation as triggers for the slowdown. The Moody’s upgrade is expected to provide ammunition to the government to blunt criticisim about its handling of the economy after growth slowed to a three-year low of 5.7% in the June quarter and rollout issues linked to GST triggered a political backlash.

Industry, stock brokers and bankers said the revised rating would accelerate fund flow to the country. “This move will now give India access to cheaper capital funds for investment, helping accelerate growth,” said Shikha Sharma, MD & CEO, Axis Bank. So far India’s cohorts in the rating table were countries like South Africa and Indonesia. With this upgrade, India has moved into the same league as Italy, Spain, Oman and the Philippines.

Moody’s Upgrade Lifts Mood On D-St & Main St

Sensex Rallies Over 400 Pts Intra-Day

The sensex started the session almost at the day’s high, rallied over 400 points (1.2%) to an intraday high at 33,521. But, due to weekend profit-taking, it closed 236 points higher at 33,343. Market players interpreted Moody’s decision as an approval by the ratings major’s for the Narendra Modiled government’s reforms-oriented initiatives, which would put the country back on a strong economic growth path. The day’s rally added about Rs 1.7 lakh crore to investors’ wealth with the BSE’s market capitalisation now just a tad above the Rs 150-lakh-crore mark.

A section of the market believes that the Moody’s action has helped changed the mood on Dalal Street, but its impact would not last long. Jimeet Modi, founder & CEO, Samco Securities said that although Moody’s upgrade has helped a pull-back in the benchmark indices, this would prove to be short-lived as economic fundamentals have not changed. “China’s substantial reduction of rating from Aa3 to A1 did not lead to a fall in the markets. On the contrary, the stock market rose 20% since the downgrade. Therefore, the current upgrade should not be read into too much, it is merely a short-term sentiment booster,” Modi said.

Riding on reforms, govt cracked the code

‘Action Should Have Come A Year Earlier’

Several key serving and former policymakers said the upgrade should have been announced one year ago given the spate of reforms. “They always said they would like the reforms to take deep roots and the reforms are sustainable. From the department of economic affairs (DEA) we had written a letter pointing out what we considered as deficiencies in their rating methodology. They had of course replied,” former economic affairs secretary Shaktikanta Das who had spearheaded the effort told TOI.

“But the fact that reforms are deep rooted and sustainable are also a matter of subjective assessment. Now, subjective assessments can vary but at the same time our point was that subjective assessments are based on objective facts. Therefore, we felt India deserved a credit rating upgrade much earlier. It has to be recognised that without this rating upgrade India was attracting a lot of investments. Now with this upgrade, together with improved ease of doing business, India emerges as a very attractive destination,” said Das.

The 2016-17 economic survey had also questioned the rating methodology of the agencies and used the rating of China and India to point out the flaws. While it was pointing out the gaps, North Block mandarins, such as Das and CEA Arvind Subramanian realized that trying too hard with the agencies may not work and instead it is better to focus on the job at hand. “We do what we do,” Subramanian was overheard telling his colleagues in the finance ministry in the afternoon, in what was probably a take on Raghuram Rajan’s latest book ‘I do what I do’.

Former NITI Aayog vice chairman Arvind Panagariya pointed to flawed methodology that rating agencies pursue. “Of course, our ratings continue to be well below what they ought to be. We have no record of ever defaulting and we are among the fastest growing large economies. But the ratings agencies seem to attach a huge negative weight to our low level of percapital income,” he said.

“Nevertheless, while we must rejoice the rare event, we must also reaffirm our resolve to continue moving ahead with reforms to create the New India that the PM envisages by 2022,” Panagariya said. Economic affairs secretary Subhas Chandra Garg said the upgrade is a credible stamp of approval of deep and comprehensive structural reforms undertaken by the government to put India on a sustainable high growth and institutional development path.

N K Singh, a former civil servant and a member of the now-wound up Planning Commission, echoed the sentiment. “It is a very strong vindication going beyond recognition of the government’s overall economic strategy. This is not the result of a single measure but a constellation of measures which includes continued fiscal consolidation, convergence of fiscal and monetary policies, and continuous fine tuning of GST.”

International borrowings to be cheaper for India Industries

“Usually, rating upgrades are anticipated 30-60 days in advance and the effect of the change lingers on till 30-60 days after the event. However, in the current case, as the change in ratings by Moody’s was completely unanticipated, the decrease in yields might materialise in a short duration,” said HDFC Bank chief economist Abheek Barua.

In its earlier rating of Baa3, India’s peers included South Africa, Hungary, Indonesia, Kazakhstan and Romania. The borrowing costs for these companies ranged between 4.3% and 9.3%. The cohorts under the new rating of Baa2 include Spain, Italy, Philippines and Oman. The borrowing costs for these countries range from 1.5% to 4.9%.

Bank of America president and India country head Kaku Nakhate said, “This ratings upgrade will help India Inc’s future external borrowings becoming cheaper, which in turn will lead to higher investments in manufacturing and infrastructure sector.” Following the ratings upgrade, prices of bonds issued by Indian corporates rose in the international markets.

‘Upgrade shows reforms may boost growth’

Moody’s Investors Service vice-president (sovereign risk group) William Foster explains to TOI the rationale behind the ratings upgrade. Foster also sounds upbeat about India’s prospects, although he says the fiscal deficit could be wider than expected this year. Excerpts:

William Foster

VP (SOVEREIGN RISK GROUP), MOODY’S

What prompted the ratings upgrade?

How do you expect growth to pan out?

Longer term, India’s growth potential is significantly higher than most other Baa-rated sovereigns. The reforms — aimed at improving the business environment, increasing formalisation of the economy or anchoring stable inflation — contribute to further enhancing the economy’s capacity to absorb shocks. We have revised our GDP growth forecast down to take into account the immediate impact of demonetisation and disruptions related to GST. We forecast real GDP growth to moderate to 6.7% in the year ending in March 2018. However, as disruption fades, we expect to see a rebound growth to 7.5% in the next fiscal year.

Will the reforms undertaken by the government be enough to tackle the problem in the banking sector and revive growth?

The recapitalisation of public sector banks announced last month should enable them to move forward with the resolution of NPLs (non-performing loans) through comprehensive write-downs of impaired loans and increase lending gradually. This represents a step forward in addressing a key weakness in India’s credit profile. Over the medium term, if met by rising demand for investment and loans, the measures will help foster more robust growth, in turn supporting fiscal consolidation.

When do you expect private sector investments to pick up?

Private sector investment has been weak, likely hampered by high corporate debt in investment-intensive sectors and ongoing challenges in the business environment and infrastructure gaps. Over time, measures implemented and planned such as GST removing barriers to trade within India, steps aimed at enhancing the business environment, encouraging foreign direct investment, providing greater visibility about future inflation will contribute to higher investment. Most of these measures will take time.

The FM has said that the fiscal glide path may be affected due to the structural changes India has undertaken. Do you think the fiscal deficit target for this year will be missed?

We forecast the general government budget deficit (state and Centre) at 6.5% of GDP this fiscal year, similar to the last two fiscal years. Lower government revenues than planned in the Budget and somewhat higher government spending could lead to a deficit somewhat wider than targeted. However, we think that the government’s commitment to fiscal consolidation remains. Over time, measures aimed at broadening the tax base and improving the efficiency of government spending will contribute to a gradual narrowing of the deficit. Together with robust and sustained nominal GDP growth, this would be conducive to a gradual decline in the government debt burden.

ENDORSES REFORMS

Moody’s upgrade is a hugely welcome endorsement of the govt’s reform policies, and the economy’s enormous potential. Key reforms will surely have large payoffs in the coming years. Economic cycle too is on an upswing

KUMAR M BIRLA | CHAIRMAN, AB GROUP

It’s a welcome development, but we also feel it was long overdue… it’s a recognition of the actions that the govt has undertaken. We also need to keep all these things in perspective

ARVIND SUBRAMANIAN | CEA

r s

Moody’s has noticed the seriousness of the government in carrying out the reforms like GST, which has been pending for 10 years. Some of these reforms are transformational

DEEPAK PAREKH | CHAIRMAN, HDFC

Borrowing costs are expected to come down for corporates. Banks are well poised to contribute to growth of economy. By January, some of the bad debt resolution plans should be in place

RAJNISH KUMAR | CHAIRMAN, SBI

A large part of capital allocation are ratings-led. It leads to lower credit premium for corporates and makes capital cheaper. Some more pension funds will now be able to invest in India

CHANDA KOCHHAR | MD & CEO, ICICI

It highlights the immense potential that India offers. More importantly, it also emboldens the government to stay true to the path of strong and transformational reforms

SUNIL MITTAL | CHAIRMAN, BHARTI ENTERPRISES

We believe private sector capital will still take some time to come back. The central & state governments and PSUs are expected to drive capital expenditure for another 9-12 months

S N SUBRAHMANYAN | CEO & MD, L&T

-Mumbai, 18 November, 2017

Sensex, Nifty gain ground with Moody’s upgrade

Sensex, Nifty gain ground with Moody’s upgrade

The benchmark equity indices gained over one per cent in the morning trading session on Friday as global rating major Moody’s upgraded India’s rating after 14 years. At 10.30 a.m., the 30-share Sensex was trading up 364.20 points or 1.10% at 33,471.02. The broader Nifty was also up 113.30 points or 1.11% at 10,328.05.

The market breadth was strong with 1,701 stocks gaining ground as against only 508 declines. Most of the sectoral indices were also trading in the green.

SensexThe United States-based agency upgraded India’s sovereign credit rating by a notch to ‘Baa2’ with a stable outlook. It upgraded the country’s rating to ‘Baa3’ in 2004, while in 2015, only the rating outlook was changed to ‘positive’ from ‘stable’.

“The decision to upgrade the ratings is underpinned by Moody’s expectation that continued progress on economic and institutional reforms will, over time, enhance India’s high growth potential and its large and stable financing base for government debt, and will likely contribute to a gradual decline in the general government debt burden over the medium term,” Moody’s said in a statement.

It, however, cautioned that high debt burden remains a constraint on India’s credit profile.

“Moody’s upgrade comes as a welcome move in the wake of slew of structural reforms in the economy that are expected to enhance the potential growth in the medium term,” said Upasna Bhardwaj, senior economist, Kotak Mahindra Bank.

The United States-based agency upgraded India’s sovereign credit rating by a notch to ‘Baa2’ with a stable outlook. It upgraded the country’s rating to ‘Baa3’ in 2004, while in 2015, only the rating outlook was changed to ‘positive’ from ‘stable’. “The decision to upgrade the ratings is underpinned by Moody’s expectation that continued progress on economic and institutional reforms will, over time, enhance India’s high growth potential and its large and stable financing base for government debt, and will likely contribute to a gradual decline in the general government debt burden over the medium term,” Moody’s said in a statement.

“In the near term, however, given that debt limits are nearly utilised there remains minimal room for a rally in gsec. Further, inflows in equity markets will also increase domestic liquidity,” he said.

Nifty ends at new peak of 10,153.10, Sensex rises 151 points

Nifty ends at new peak of 10,153.10, Sensex rises 151 points

It also breached intra-day record of 10,137.85 reached on August 2.

The NSE Nifty on Monday closed at record high of 10,153.10 and the Sensex surged by 151 points to end at a six-week high on gains in banking, capital goods and auto stocks after unabated buying by domestic institutional investors amid positive leads from global markets.

Sentiments remained upbeat for yet another session following healthy gains across Asian and a higher opening at European markets, traders said.

The 50-share NSE Nifty closed at all-time high of 10,153.10, up 67.70 points, or 0.67% after shuttling between 10,171.70 and 10,131.30. It broke previous record closing of 10,114.65 hit on August 1.

It also breached intra-day record of 10,137.85 reached on August 2. Reflecting the bullish mood, the NSE Bank Nifty breached the 25,000 mark to hit all-time high of 25,105.35.

The 50-share NSE Nifty closed at all-time high of 10,153.10, up 67.70 points, or 0.67% after shuttling between 10,171.70 and 10,131.30. It broke previous record closing of 10,114.65 hit on August 1. It also breached intra-day record of 10,137.85 reached on August 2. Reflecting the bullish mood, the NSE Bank Nifty breached the 25,000 mark to hit all-time high of 25,105.35. The 30-share BSE Sensex also rose by 151.15 points, or 0.47% to end at 32,423.76, its highest closing since August 2 when it had settled at 32,476.74. During the day, it touched a high of 32,508.06.

The 30-share BSE Sensex also rose by 151.15 points, or 0.47% to end at 32,423.76, its highest closing since August 2 when it had settled at 32,476.74. During the day, it touched a high of 32,508.06.

The gauge had gained 610.64 points in the previous seven straight sessions.

Revival of buying by FPIs, who had been major sellers for a long spell on the Indian bourses, too accelerated the buying pace to some extent, helping the benchmark Nifty to scale new highs, brokers said.

-PTI, MUMBAI,SEPTEMBER 18, 2017 

Sensex scales another peak of 30,346.69; Nifty @ 9,450.65

Sensex scales another peak of 30,346.69; Nifty at 9,450.65

The BSE Sensex continued with its record setting spree to quote at an all-time high of 30,346.69 while the NSE Nifty scaled a new peak of 9,450.65 in opening trade on sustained fund inflows, largely driven by forecast of a normal monsoon, amid positive Asian cues.
The 30-share index rallied by 98.52 points, or 0.32 per cent, to hit a new peak of 30,346.69, breaking its previous record of 30,271.60 points (intra-day) touched in yesterday’s trade.
The gauge had gained 389.37 points in previous three sessions to close at a record high of 30,248.17 in yesterday’s session.
All the sectoral indices, led by metal, healthcare, auto and banking, were trading in green with gains of up to 1.02 per cent.
The 50-share NSE Nifty gained 43.35 points, or 0.46 per cent, to quote at a life-time high of 9,450.65. The gauge had touched an intra-day high of 9,414.75 in yesterday’s trade.
Major contributors to the key indices were Tata Steel, M&M, Lupin, ONGC, Cipla, Axis Bank, ITC Ltd, ICICI Bank, Sun Pharma, Adani Ports and SBI, gaining by up to 1.42 per cent.
Bucking the trend, shares of India’s largest two-wheeler maker Hero MotoCorp fell 0.38 per cent, to Rs 3,309.90 after the company yesterday registered a 13.86 per cent decline in net profit at Rs 717.75 crore for the fourth quarter ended March 2017.
Brokers said that continued buying by foreign funds as well as retail investors after forecast of a normal monsoon this year lifted the key indices to new highs.
In the Asian region, Hong Kong’s Hang Seng rose 0.23 per cent, while Japan’s Nikkei was up 0.15 per cent in early trade. Shanghai Composite Index, however, was down 0.25 per cent. The US Dow Jones Industrial Average closed 0.16 per cent lower in yesterday’s trade.
-11 May 2017 | PTI | Mumbai

Sensex races to 11months high, Nifty above 8,400

Sensex races to 11-mth high on global cues, Nifty above 8,400

Markets put up a strong rally on an across-the-board buying frenzy, lifting the Sensex about 500 points to close at 11-month high of 27,627 and the Nifty above 8,400 amid robust global cues.
For the Sensex, it’s the biggest single-day gain in over a month.
The sentiment got a big push following a rally in global equities as investors cheered a strong US jobs report while a landslide victory for Japan’s ruling coalition in weekend elections boosted stimulus hopes.
sensex
The investor focus now shifts to the first leg of corporate earnings. TCS and Infosys are slated to come out with their results on Thursday and Friday, respectively.
Monsoon’s coverage of most part of India and a stronger possibility of passage of the deadlocked GST Bill in Rajya Sabha gave more reasons to cheer.
After opening higher, the Sensex ended at an 11-month high of 27,626.69, up 499.79 points, or 1.84 per cent — its biggest single-day gain since May 25 when it had risen 575.70 points.
Today’s closing is highest since August 19 last year when it ended at 27,931.64.
The 50-share NSE Nifty recaptured the 8,400-mark before closing at 8,467.90, a gain of 144.70 points, or 1.74 per cent.
Metals led the rally, followed by auto, banking, PSU and realty. Covering-up of short positions fed the upsurge.
Most other Asian markets closed on a strong footing following strong weekend rally in the US.
Japan’s Nikkei remained at the forefront, jumping 3.98 per cent, followed by Hong Kong’s 1.54 per cent, Singapore’s 0.97 per cent and the Shanghai Composite’s 0.23 per cent.
European bourses are too trading firmly higher, with Frankfurt’ DAX up 1.20 per cent, Paris CAC 0.70 per cent and UK’s FTSE 0.70 per cent.
Meanwhile, FPIs net bought shares worth Rs 330.62 crore on Friday, as per provisional data from the stock exchanges.
The domination was near complete, as 29 scrips out of 30-share Sensex pack ended higher while Axis Bank closed lower.
Adani Ports was the top gainer by rising 4.78 per cent. Tata Motors went up 4.15 per cent after the company’s Jaguar Land Rover reported 22 per cent jump in global retail sales in first half the year.
So did ICICI Bank (3.44 per cent), SBI (2.84 per cent), Maruti Suzuki (2.84 per cent), Coal India (2.84 per cent), Tata Steel (2.72 per cent) and Hero MotoCorp (2.52 per cent).
Among BSE sectoral indices, metal rose the most by 2.46 per cent, followed by auto 2.19 per cent, banking 2.07 per cent, PSU 2.06 per cent and realty 2.05 per cent.
Mid-cap and small-cap firmed up 1.49 and 0.79 per cent, respectively, on fresh buying by retail investors.
-11 July 2016 | PTI | Mumbai

Sensex soars 576 points to log biggest one-day rally

Sensex soars 576 points to log biggest one-day rally in nearly 3 months

Sensex soars 576 points to log biggest one-day rally in nearly 3 months

 

Market benchmark Sensex on Wednesday soared nearly 576 points — its biggest single-session gain in nearly three months — to end at 25,881.17 and the NSE Nifty crossed the 7,900-mark on a flurry of buying by foreign funds and retail investors amid a firm overseas cues.

The rupee recovering against the dollar from 2-1/2 month low and a string of encouraging earning numbers also contributed to the up move amid covering-up of pending short positions by speculators ahead of tomorrow’s May monthly expiry in the derivatives segment, brokers said.

Buying activity gathered momentum as global equities rallied after investors also adjusted to the prospect of a US rate hike in the near future amid a surge in home sales.

The Sensex opened strong at 25,432.10 and continued to rise to hit the day’s high of 25,897.87. Finally, it settled at one-month high of 25,881.17, a gain of 575.70 points or 2.28 percent — its biggest single-day gain since March 1.

The 50-share NSE Nifty recaptured the 7,900-mark to hit a high of 7,941.20 before winding up at 7,934.90, a hefty rise of 186.05 points or 2.40 percent.

From the 30-share Sensex pack, 29 scrips ended higher. Cipla ended in the red with a fall of 4.97 percent at Rs 470.30 after pharma major March numbers came below market expectations.

ICICI Bank emerged as the top gainer from the index by climbing 4.48 percent to Rs 234.45 while BHEL jumped 4.34 percent to Rs 122.65 after the company said it has commissioned the first 800 mw supercritical thermal unit in Raichur, Karnataka.

Shares of Bajaj Auto climbed 3.96 percent to Rs 2,478.85 after the company reported 29.18 percent growth in standalone net profit to Rs 803.06 crore for the fourth quarter ended March 31.

Other major gainers included L&T 4.02 percent, Maruti (3.47 percent), SBI (3.30 percent), HDFC Ltd (2.87 percent), HDFC Bank (2.80 percent), GAIL (2.76 percent), Asian Paint (2.74 percent), Axis Bank (2.67 percent), NTPC (2.46 percent), TCS (2.40 percent), ITC Ltd (2.24 percent) and Tata Steel (2.13 percent).

Sectorally, the BSE banking index gained the most by rising 3.17 percent followed by capital goods (2.96 percent), IT (2.25 percent), teck (2.21 percent), power (2.04 percent), oil&gas (2.01 percent), FMCG (1.88 percent), infrastructure (1.82 percent), auto (1.82 percent), PSU (1.77 percent) and metal (1.10 percent).

Broader markets too were in a bullish form with BSE mid-cap rising 0.97 percent and the small-cap up 0.94 percent.

Meanwhile, the government today approved the first-ever policy for the country’s capital goods sector envisaging creation of over 21 million new jobs by 2025.

In Asian markets, Japan’s Nikkei surged 1.57 percent while Hong Kong’s Hang Seng rose 2.77 percent. However, Shanghai composite index slipped 0.23 percent.

European markets were trading in the positive terrain with the London FTSE rising 0.68 percent, while Paris up 1.15 percent.

-May 25, 2016, Mumbai