Sensex closed above 80,000 points for the first time, Nifty also reached a new peak

The Uncut

Mumbai. The local stock markets rose on Thursday and the BSE Sensex rose 63 points to close above 80,000 points for the first time. The NSE Nifty also remained at a record high. The market rose mainly due to buying in companies having strong market share… ICICI Bank, Infosys and TCS amid positive global sentiment.

The 30-share BSE Sensex closed at an all-time high of 80,049.67 points with a gain of 62.87 points or 0.08 percent. During trading, at one point it had gone up to 80,392.64 points with a gain of 405.84 points. But later it came down due to profit booking. The National Stock Exchange’s Nifty also closed at a new peak of 24,302.15 points with a gain of 15.65 points or 0.06 percent. During trading, it had climbed 114.5 points to 24,401 points.

Vinod Nair, Head of Research, Geojit Financial Services, said, “Buying was seen in big companies of IT and pharmaceutical sector, which are considered defensive from investment point of view. Buying was done in these stocks due to reduction in inflationary pressure in the US, improvement in earnings outlook on quarterly basis and sharp fall in 10-year bond yields.”

He said, “The increase in government expenditure and better earnings of companies are supporting the high valuation of shares. The return of FIIs (foreign institutional investors) in the domestic market and the reduction in the policy rate in September are supporting the market sentiment.” Among the Sensex stocks, HCL Technologies, ICICI Bank, Tata Motors, Sun Pharmaceuticals, Tata Consultancy Services, Infosys, Kotak Mahindra Bank and Mahindra & Mahindra were the major gainers.

HDFC Bank, Bajaj Finance, Larsen & Toubro, Tech Mahindra, UltraTech Cement and IndusInd Bank were among the losers. Religare Broking Ltd. Senior Vice President (Research) Ajit Mishra said that Nifty is moving towards the immediate target of 24,500 points and looks slightly overbought. It would be wise to book some profits and wait for a possible decline before considering buying the index for the long term.

The BSE Midcap index representing mid-cap companies rose 0.60 percent while the Smallcap index related to small companies rose 0.62 percent. In other Asian markets, Japan’s Nikkei, Hong Kong’s Hangseng and South Korea’s Kospi were up while China’s Shanghai Composite was in loss. There was a bullish trend in early trade in major European markets. US markets were in profit on Wednesday. Global oil benchmark Brent crude fell 0.52 percent to $ 86.89 per barrel.

According to stock market data, foreign institutional investors bought shares worth Rs 5,483.63 crore on Wednesday. The Sensex crossed the 80,000 mark for the first time during trading on Wednesday. Later it closed at 79,986.0 points with a gain of 545.35 points. On the other hand, the Nifty closed at 24,286.50 points with a gain of 162.65 points. During trading, it rose to 24,307.25 points with a gain of 183.4 points.

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