Sensex, Nifty drift higher to new peaks

Mumbai Equity benchmark indices Sensex and Nifty continued their record-breaking rally for the fourth day on Tuesday, reaching new all-time high closing levels, amid fresh foreign fund inflows and a positive trend in the US and European markets. Robust buying in IT major Infosys also contributed to the domestic benchmark indices optimism.

The 30-share BSE Sensex climbed 205.21 points or 0.31 per cent to settle at its new all-time closing high of 66,795.14. During the day, it jumped 417.09 points or 0.62 per cent to reach its record intra-day peak of 67,007.02. The benchmark breached the 67,000-mark for the first time ever in intra-day trade. The NSE Nifty gained 37.80 points or 0.19 per cent to end at its all-time closing high of 19,749.25. During the day, the benchmark rallied 108 points or 0.54 per cent to hit its lifetime peak of 19,819.45.

“The bulls continued to lift the market to new heights, but volatility emerged in the second half due to concerns over valuation. Rapid fall in the dollar index and a slide in the US 10-year yield are supporting liquidity in emerging markets. While disappointing economic growth in China and improvement in the US market outlook are drawing attention to the Indian market,” said Vinod Nair, Head of Research at Geojit Financial Services.

“However, technically, intra-day correction formation is indicating that a range bound activity is likely to continue in the near future,” said Shrikant Chouhan, Head of Research (Retail), Kotak Securities Ltd.

Foreign Institutional Investors (FIIs) continued their buying activity as they bought equities worth Rs 2,115.84 crore on Tuesday, according to exchange data. From the Sensex pack, Infosys jumped the most by 3.67 per cent. Asian Paints, HCL Technologies, Reliance Industries, ICICI Bank, Wipro, NTPC, Tech Mahindra, Bajaj Finserv and Larsen & Toubro were among the other major gainers.