Sensex, Nifty scale new peaks on F&O expiry, earnings cheer

Extending their record-setting run

for the second session, Sensex and Nifty ended at fresh

lifetime highs today on short-covering following derivatives

expiry amid optimism over earnings.

The BSE Sensex gained 104.63 points to end at 33,147.13,

while the broader Nifty spurted 48.45 points to finish at

10,343.80.

Both the key indices had climbed to lifetime highs

yesterday as well, buoyed by the government's massive Rs 9

lakh crore package to boost the economy.

The 30-share Sensex resumed lower at 33,025.17 and

declined to 32,835.06 in a volatile session on profit booking

at higher levels. It later bounced back to touch a record

intra-day high of 33,196.17, before finishing at 33,147.13, up

104.63 points, or 0.32 per cent.

The benchmark surpassed its previous record closing of

33,042.50 hit yesterday.

In four days, the index has gained 764.20 points.

Similarly, the broader NSE Nifty, after shuttling between

10,355.65 and 10,271.85, settled at 10,343.80, up 48.45

points, or 0.47 per cent.

It broke its previous record closing of 10,295.35 hit

yesterday.

Covering up of pending short positions by speculators on

the expiry of the October derivatives contracts helped the

index recover in the last hour of trade, brokers said.

"Yet another high and no sign of fatigue. It seems that

valuation is following the price as the prospects on domestic

macros with signs of recovery in corporate earnings will

support the outlook.

"While today's F&O expiry added some volatility in

between, FIIs are likely to get attracted to the domestic

tailwinds. Rising competition on market share between private

and PSU banks will improve the trade, service and investment

activities over the time," said Vinod Nair, Head of Research,

Geojit Financial Services.

Banking stocks led by PNB, Axis Bank, IndusInd Bank, Yes

Bank, Kotak Bank and HDFC Bank rose up to 5.60 per cent, as

investor sentiment remained upbeat over the government's Rs

2.11 lakh crore recapitalisation plan for NPA-hit public

banks.

However, SBI, which zoomed 27.58 per cent yesterday,

ended lower by 1.25 per cent.

Other gainers that supported the key indices were Cipla

(3.18 per cent), Maruti (2.60 per cent), Tata Steel (1.72 per

cent), L&T (1.68 per cent), Sun Pharma (1.47 per cent), Bajaj

Auto (1.40 per cent), Infosys (1.29 per cent), Coal India

(1.14 per cent), Wipro (0.97 per cent), M&M (0.85 per cent)

and Reliance Industries (0.78 per cent).

Sector-wise, oil&gas jumped 2.19 per cent, followed by

metal 2.07 per cent, capital goods 1.26 per cent, PSU 1.26 per

cent, auto 0.62 per cent, healthcare 0.59 per cent, power 0.45

per cent and realty 0.37 per cent.

The BSE Small-Cap index rose 0.61 per cent while mid-caps

gained 0.50 per cent. Both the indices outperformed the

Sensex.

Foreign portfolio investors (FPIs) bought shares worth a

net Rs 3,582.50 crore, while domestic institutional investors

(DIIs) sold shares worth a net Rs 155.71 crore yesterday, as

per provisional data released by the stock exchanges.

In the Asian region, Japan's Nikkei rose 0.15 per cent

and Shanghai Composite gained 0.31 per cent while Hong Kong's

Hang Seng shed 0.36 per cent.

In the Eurozone, Paris CAC 40 rose 0.30 per cent, while

Frankfurt's DAX was up by 0.20 per cent in late morning trade.

London's FTSE rose 0.32 per cent.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)