Sensex, Nifty close marginally higher, NTPC, Axis Bank, ONGC top gainers
Marked by volatility, power, realty, infrastructure, consumer durables and capital goods stocks saw gains, helping both the key indices close higher for the eighth straight day
Mumbai: The Sensex on Monday scrambled for ways, but closed above the base line for the eighth straight session even as Standard and Poor’s (S&P) kept India’s sovereign credit rating unchanged. The broader NSE Nifty too moved sideways multiple times before ending a tad higher.
“Market traded in a narrow range due to status quo in sovereign rating where investors expected a positive revision. Later, the market reversed from the day’s low and managed to close on positive note with an expectation of improvement in Q2 GDP data during the week,” said Vinod Nair, head of research, Geojit Financial Services Ltd.
The outcome of the upcoming meeting of the Organisation of Petroleum Exporting Countries on oil supply and future and options expiry this week kept investors on the sidelines.
The 30-share barometer opened lower and stayed in the red for the most part of the day. But sudden buying in the last one hour of trading took it to 33,724.44, up 45.20 points, or 0.13%, from its previous close. The index had risen 918.80 points in the past seven sessions. The 50-share NSE Nifty ended flat, up by 9.85 points, or 0.09%, at 10,399.55. Intra-day, it moved between 10,340.20 and 10,407.15.
The market floated on domestic institutional buying and positive leads from Europe. The uptrend in the previous seven sessions came on the back of Moody’s Investor Services upgrading India sovereign rating and better-than-estimated earnings by some blue-chip companies.
Investors turned cautious as S&P kept its sovereign rating for India unchanged at ‘BBB-minus’ with ‘stable’ outlook, citing vulnerabilities stemming from low per capita income and high government debt. The rating decision came after trading hours on Friday.
Marked by volatility, power, realty, infrastructure, consumer durables and capital goods stocks saw gains, helping both the key indices close higher for the eighth straight day—their longest winning run since 23 June, 2015.
Domestic institutional investors stood firm as they purchased shares worth Rs427.63 crore on Friday, provisional data showed. But foreign portfolio investors net sold shares worth Rs416.28 crore. Other Asian markets closed lower, ignoring a strong lead from Wall Street. European shares were in the green.
Market heavyweight NTPC surged the most by 3.13%. Axis Bank came in second, up 2.73%. ONGC, SBI, Wipro and L&T too advanced. The BSE realty index was the prime mover, rising 1.24%, followed by power, infrastructure and consumer durables. Pace of buying picked up in broader markets, lifting the BSE small-cap index by 0.77% and mid-cap 0.52%.
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