Benchmark indices closed at record highs today, tracking gains in ITC, HDFC Bank and PowerGrid shares amid mixed cues in global markets. Sensex ended above 61,000 for the first time and Nifty closed above the 18k mark for the second consecutive session.
The 30-stock index closed 568 points higher at a new peak of 61,305 and Nifty rallied 176 points to 18,338.
Sensex and Nifty logged record highs of 61,353 and 18,350 during the session.
ITC was the top Sensex gainer, zooming 2.89 per cent, followed by HDFC Bank, PowerGrid, ICICI Bank, IndusInd Bank and NTPC.
TCS, HCL Tech, Bajaj Finance, Asian Paints and Bharti Airtel were among the top Sensex losers, falling up to 1.22%.
Of 30 Sensex stocks, 22 closed higher.
With today's rally, Sensex has achieved the target of 61k set by brokerage Morgan Stanley nearly 2.5 months ahead.
On May 18 this year, Morgan Stanley had forcasted the Sensex could hit 61k by the end of 2021.
The brokerage had said that in a bull-case scenario (30 per cent probability), Sensex could touch levels as high as 61,000, an upside of around 22 per cent from the current levels. In a bear case scenario that has a 20 per cent probability, it can go back to 41,000 levels by December 2021.
This is the sixth straight session of gains for Sensex and Nifty.
Also read: Sensex hits 61,000! What to expect ahead?
Gaurav Ratnaparkhi, Head of Technical Research, Sharekhan expects Nifty to reach 19,000 mark in the short term.
"The daily chart is showing runaway gap, which underscores the underlying strength. The same is visible from the momentum indicators as well. Hence, the index is expected to stay on the upward trajectory with the short-term target at 19,000. On the other hand, the recent gap area of 18,248 – 18,197 will provide cushion in the case of any minor degree dip," said Ratnaparkhi.
The market capitalisation of BSE-listed firms reached a record high of Rs 272.76 lakh crore. The market breadth was positive with 1,703 shares ending higher against 1,655 shares closing in the red. 140 shares were unchanged.
Analysts have also attributed the current rally to the ongoing earnings season where IT firms have reported healthy numbers.
Shrikant Chouhan, Head - Equity Research (Retail), Kotak Securities said, "The Q2FY22 result season has begun with large cap IT companies reporting healthy numbers. Rupee’s depreciation has also played its part in keeping the IT stocks in the green. Amid all this, Indian markets continue to rally with both BSE Sensex and Nifty gaining over 2.5% each during the week."
BSE mid cap and small cap indices rose 143 points and 137 points, respectively. On the sectoral front, banking, capital goods and metal shares led the gains on BSE with the bankex rising 737 points, metal index zooming 287 points and the BSE capital goods index gaining 315 points.
Sensex has gained 50.28% or 20,511 points and Nifty has zoomed 53.19% or 6,367 points in one year.
On the other hand, Sensex has climbed 28.39% or 13,554 points and Nifty has risen 4,356 points or 31.16% since the beginning of this year.
Stock prices rose in Paris, London and Tokyo, while Shanghai shares were little changed after the release of data showing producer price inflation at a record high in September.
France's CAC 40 gained 0.7% in early trading to 6,646.16. Germany's DAX was up 0.8% at 15,363.06. Britain's FTSE 100 climbed 0.7% to 7,190.95. The future for the Dow industrials rose 0.6% to 34,445.00. The future contract for the S&P 500 was 0.7% higher at 4,384.75.
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