After a volatile trading session, market indices closed at record highs on Friday. The market earlier reversed trend backed by mixed Asian markets and weak opening in European equities. Sensex ended 139 points higher at 46,009 and Nifty closed 35 points to 13,513. During the week, Sensex and Nifty have gained by 2.26% and 1.93%, respectively.
Except for auto, pharma, and metal index, all other sectors closed in bullish territory, with PSU banking and metal ending over 1% each.
During today's early session, Sensex hit an all-time high of 46,277 and Nifty too logged a record high of 13,566. Yesterday, Sensex ended 143 points lower at 45,959 and Nifty fell 50 points to close at 13,478.
ONGC followed by SBI, NTPC, Bajaj Finance, Tata Steel, Bajaj Finserv, HDFC and Reliance Industries were among the top gainers in the Sensex pack. On the other hand, Asian Paints, Tech Mahindra, Infosys and Nestle India were among the laggards.
On the currency front, the Indian rupee settled 2 paise higher at 73.64 per US dollar.
Overseas, Asian stocks were mixed on Friday as investors kept an eye on negotiations over additional fiscal stimulus in the US.
US markets closed without much activity on Thursday as lawmakers struggled to push through a new fiscal stimulus before year-end. Market sentiment was further dampened by the release of weaker-than-expected jobless claims data.
European markets closed lower today as Brexit deal talks dragged on and as ECB held key rates unchanged at its meeting while expanding its monetary stimulus program by another 500bln euros.
S Ranganathan, Head of Research at LKP Securities said, "A volatile trading session to end the week well over 46k as we witnessed a renewed interest in PSU names across sectors on hopes of divestment and dividend expectations from cash-rich PSU companies. Bouts of profit booking was seen in afternoon trade across sectors and stocks which seems healthy for the markets".
Keshav Lahoti-Associate Equity Analyst, Angel Broking said," Indian market closed up by 0.3%. This week also the market continued its momentum by closing up by 2% due to liquidity and economic recovery. These days buying interest is higher in beaten-down sectors such as multiplex, hotel due to visibility in their business, we expect such sectors to do well in the upcoming days also."
He added," Global cues were negative: Dow Futures, Nasdaq Futures and FTSE were down by 0.4%, 0.6%, and 0.6% respectively. After the recent rally in the market, we are cautiously positive on the market. We advise investors to have ~15% of their portfolio in liquid assets so that it can be utilized when the correction happens in the market."
Vinod Nair, Head of Research at Geojit Financial said,"Market opened well, but in between, it lost all the gains and turned negative, fortunately in the last trading minutes, it made a good attempt to bounce back and closed marginally above. This muted momentum was due to a weak global trend. Despite European Central Bank's announcing an increase in the stimulus package, European markets fell as it was overweighed by increasing the chance of a no-deal Brexit, rising virus cases and moderate usages of the announced stimulus plan. Instability was also seen in the US market with a sudden spike in the volatility index (VIX) and selling in tech stocks."