Mumbai, July 27 (IANS) The key Indian equity indices continued to reach record highs on Thursday on the back of political developments in the country and intense buying activity in the banking sector.
According to market observers, healthy buying in index heavyweights such as HDFC and HDFC Bank, coupled with positive global cues and expectations of healthy quarterly results, buoyed investors’ sentiments.
However, profit booking in sectors such as consumer durables, healthcare and metal stocks capped some gains. Volatility was also observed on the eve of July derivatives expiry.
At 1.40 p.m., the wider Nifty50 of the National Stock Exchange (NSE) traded higher by 42.95 points or 0.43 per cent at 10,063.60 points. At one point, it breached the 10,100-mark to scale an intra-day high of 10,114.85 points.
The 30-scrip Sensitive Index (Sensex) of the Bombay Exchange (BSE), which opened at 32,519.44 points, traded at 32,515.88 points — up 133.42 points or 0.41 per cent — from its previous session’s close at 32,382.46 points.
The Sensex has so far touched a fresh intra-day high of 32,672.66 points.
However, the BSE market breadth was bearish with 1,747 declines and 838 advances.
“Today the global cues are not affecting the markets much because the local factors are strong. One of the reasons is the political development, because the ruling party has become more stronger,” Vijay Singhania, Director of Trade Smart Online, told IANS.
“The banking sector profits are better, particularly the private sector banks. So, because of that, the banking stocks have gone up,” he added.
On Wednesday, the benchmark indices surged to a record high, with the NSE Nifty50 closing firmly above the 10,000-point mark for the first time. It scaled a record intra-day high of 10,025.95 points on Wednesday before closing at 10,020.65 points.
The BSE Sensex, too, touched a fresh high of 32,413.63 points during the intra-day trade.