Sensex, Nifty scale new closing peaks for third day in a row

Domestic equity benchmark indices Sensex and Nifty Tuesday scaled new closing peaks for a third day in a row, riding on optimism that the re-election of the BJP-led NDA will push reforms, even as high volatility during the session reflected a cautious investor outlook in view of tepid global cues. In a highly volatile trade, the BSE gauge Sensex closed 66.44 points or 0.17 per cent, higher at 39,749.73 -- it's all-time closing high; while the NSE benchmark Nifty logged a marginal rise of 4 points or 0.03 per cent to settle at 11,928.75 -- a new closing peak for the index.

A renewed sense of positivity has been dictating domestic bourses ever since the BJP scored a landslide win in the national election, but investors have slowly turned their focus to other global and domestic factors like trade tariff tussle, macro-economic data and onset of monsoon, among others. Besides, sustained foreign inflows also helped in lifting market sentiment.

Heavyweights Reliance Industries, TCS and HDFC Bank saved the day for the benchmark BSE index. In percentage terms, however, Yes Bank was the biggest gainer in the Sensex pack, rallying 4.06 per cent. Other top gainers were Coal India, Infosys, PowerGrid, Vedanta, Reliance, TCS, HUL, ONGC, HCL Tech, IndusInd Bank, HDFC Bank and Asian Paints, gaining up to 2.72 per cent.

On the other hand, Hero MotoCorp, Bajaj Auto, Bharti Airtel, L&T, Bajaj Finance, M&M, Tata Steel, HDFC, Kotak Bank and ITC were the major laggards, shedding up to 2.55 per cent. Of the Sensex constituents, 13 stocks registered gains and 17 saw losses. The broader BSE midcap and smallcap indices closed up to 0.41 per cent higher. Sectorally, BSE Teck, energy, metal, oil and gas, utilities and power indices gained up to 1.64 per cent; while BSE telecom, capital goods, auto, industrials and finance indices ended up to 1.16 per cent lower.

Among the 19 BSE sectoral indices, 10 closed in the green and 9 in the red. Overall market breadth was tilted in favour of buyers as 1,438 stocks advanced and 1,169 declined on the BSE. "Indian indices closed on a positive note, slating sharp recovery from its day low. Nifty managed to close above 11,900 levelled by IT stocks. Post-Euphoria on the election outcome, markets look to consolidate and shift focus towards macro data, the onset of monsoon, events like RBI Monetary Policy slated next week (6th June ) and also on Union budget. On the global front, US-China trade wars along with rising in oil price will determine the further trend of the market," Hemang Jani, Head - Advisory, Sharekhan by BNP Paribas, said.

Foreign institutional investors bought equity worth Rs 1,215.36 crore on Monday, while domestic institutional investors sold shares to the tune of Rs 327.86 crore, provisional data available with stock exchanges showed. Meanwhile, the Indian rupee depreciated by 18 paise to close at 69.69 against the US dollar on Tuesday. Brent crude, the global benchmark, was trading 0.33 per cent higher at 69 per barrel. Globally, bourses in Asia ended on a positive note, while those in Europe were trading in the red in their respective early deals.