Sensex, Nifty settle at new record high

The benchmark equity indices ended on a new high as investor sentiment remained buoyant on the back of positive macro data and sustained buying by domestic institutions. The broader market breadth, however, remained negative as most side counters lost ground.

The 30-share Sensex gained 200.95 points to close at 32,633.64. Stocks like Bharti Airtel, M&M, Tata Motors, Hindustan Unilever, Cipla and TCS were among the top gainers surging between 1-5% each. The broader Nifty closed at 10,230.85, up 63.40 points.

“Buoyancy on the local front helped the index to make a firm start as participants took note of Reliance’s results and contraction in trade deficit figure,” said Jayant Manglik, president, retail distribution, Religare Securities.

Data released last week showed that industrial production rose at a nine-month high of 4.3% in August. Further on Friday, data from Commerce Ministry showed that goods trade deficit in September narrowed to a seven-month low of $8.98 billion.

Incidentally, the growth in goods exports registered in September was in continuation of the trend of positive growth in shipments for the last 13 months.

Meanwhile, the overall market breadth was negative as 1,420 stocks lost ground on BSE against 1,279 gainers. This assumes significance since it hints at an underlying weakness and the lack of a broad market rally.

“Any intermediate pause or decline should be considered as buying opportunity. Volatility is not new during the earnings so traders should focus on position management,” added Mr. Manglik.

The gains in the Indian equity market was also aided by a strong trend in the global markets. Leading Asian indices like Hang Seng, Kospi and Nikkei all ended in the green on Monday.

Godrej Agrovet made a strong debut on the bourses, gaining almost 30% compared with the issue price of ₹460. On BSE, it opened at ₹621 and touched a high of ₹629.85. It finally settled at ₹595.55.