Sensex, Nifty hit fresh closing high on fund flows; TVS Electronics surge 15%

Continuing their record-setting spree for a third day in a row, domestic equity benchmarks Sensex and Nifty Tuesday hit fresh closing highs on sustained foreign fund inflows coupled with positive domestic cues. After trading tepid for the first half, the Indian indices finally ended in the green zone as the BSE Sensex rose 66 points after closing at 39,749 while the 50-stock Nifty rose 4 points to 11,928 levels. IT, tech, energy and metal stocks were the major gainers in the intraday trade. IT major TVS Electronics shot up 15 per cent from its previous close.

Giving an idea about the markets Simi Bhaumik, SEBI registered technical equity analyst told Zee Business online, "Overall the market is bullish and currently in the range of 11,800 to 11,950. I would advise investors to buy on dips till it breaks the psychological 12,000 levels."

Deepak Jasani, Head Retail Research, HDFC securities said, "Markets ended mildly higher on Tuesday after recovering the early losses post 1430 Hrs. The markets ended higher for the third straight session. IT shares were in limelight. The Nifty index ended 4 points or 0.03% higher at 11,928.75. Large turnover of ~Rs.53000 cr was witnessed on the NSE partly due to stocks sold and bought in MSCI rebalancing that is effective tomorrow morning." Speaking on the global cues Jasani of HDFC Securities said, "European stocks, bond yields and the euro fell on Tuesday as concern about Italy’s budget overshadowed talks of a Fiat-Chrysler and Renault merger and the muted showing of nationalists in European Union parliamentary elections. Italy’s dispute with the European Commission emerged to dominate European trading as markets opened. The Commission could fine Italy 3 billion euros for accumulating debt and deficits that break EU rules. The spread of Italian 10-year debt over top-rated Germany reached around 100 basis points between mid-October and mid-March, but since then has blown out to 285 basis points."

IT stocks led the bull run on Dalal Street as the BSE IT index rose 1.56 per cent in the intraday trade. IT manjor TVS Electronics jump near 15 per cent, Aptech share price shot up 7.96 per cent, Birlasoft counter shot up 5.18 per cent, Infosys went up 2.25 per cent, Larsen & Toubro Infotech added 3 per cent, NIIT shares skyrocketed over 6 per cent while Sonata Software shares jump 3.3 per cent.

Tech stocks also witnessed heavy buying in the intraday trade as the BSE Tech index rose around 1.28 per cent today. Tech major Vodafone Idea share price shot up 4.6 per cent, Tech Mahindra shares rose near 2 per cent, shares of Dish TV India went up 4.83 per cent while TCS rose near 1 per cent.

Among Asian stocks Japanese Nikkei 225 index rose 0.37 per cent, South Korean Kospi added 0.23 per cent, Hang Seng went up 0.38 per cent, Shanghai index rose 0.61 per cent while FTSE 100 was down 0.08 per cent.