Indian equity benchmarks today soared to new highs in the wake of strong global cues as the US Fed suggested that tapering could begin earlier than expected, but kept interest rates near
record lows.
The Sensex climbed as much as 1,030 points to a new high of 59,957.25, while the Nifty 50 index ended above the key psychological level of 17,800 for the first time, boosted by gains in
banking, financial services, and oil and gas stocks. The Sensex rose 958 points to conclude at a new all-time high of 59,885.36, while the Nifty 50 index rose 176 points to 17,823.
The Fed announced yesterday night that it will likely begin cutting its monthly bond buying as early as November, adding that interest rates could rise faster than planned.
The top movers in the Sensex were Reliance Industries, HDFC twins, Infosys, ICICI Bank and Larsen & Toubro. They contributed nearly 750 points to Sensex as a whole.
On Thursday, real estate stocks rose for the second straight session as bullish sentiment for the sector gained traction after Godrej Properties announced record sales at its Godrej Woods
project in Noida.
Also Read: US Federal Reserve steadies interest rates, announces reduction of bond buying ‘soon’
The Nifty Bank, Financial Services, Metal, IT, PSU Bank, Private Bank, Consumer Durables, and Oil & Gas indices all saw gains of 1.5 to 2.5 percent.
The Nifty Midcap 100 index jumped 1.5 percent, while the Nifty Smallcap 100 index rose 0.8 percent, indicating robust buying interest in broader markets.
Bajaj Finserv was the leading gainer on the Nifty, rising 4.63 percent to a new high of 18,430. Hindalco, Larsen & Toubro, Tata Motors, Coal India, HDFC, Axis Bank, ONGC, IndusInd Bank,
State Bank of India, HDFC Bank and Reliance Industries all saw their stock prices rise by 2.4 to 4.5 percent.
On the other hand, major losers included HDFC Life, Dr Reddy's Labs, JSW Steel, Tata Consumer Products, ITC, Nestle India and Britannia Industries.
On the BSE, the overall market breadth was extremely strong, with 1,974 shares closing higher and 1,266 shares closing lower.