Markets scale new peaks on RIL push and IMF forecast

Mumbai: Benchmarks rallied to fresh lifetime highs on Wednesday on persistent investor appetite for market heavyweight RIL, while the broader buying momentum got a fillip after IMF underlined India’s role as a source of global growth.

The BSE Sensex vaulted 221.76 points to close at a new peak of 37,887.56. The broader NSE Nifty extended its record-setting run for the fourth session and finished above the 11,400-mark for the first time.

Sentiment was buoyed after the IMF said India will be a source of growth for the global economy for the next few decades and it could be what China was for the world economy, even as it suggested more structural reforms.

Sustained FII inflows and fresh spell of buying by domestic institutional investors fueled the rally, brokers said. Encouraging first quarter earnings and mixed trend in global markets, with US stocks approaching fresh all-time highs, too bolstered sentiment, they added.

Reliance Industries witnessed heavy buying and spurted 2.85% to close at a fresh high of Rs 1,217.25. The 30-share Sensex, after a cautious start, gathered momentum and rallied to 37,931.42, before finally ending at 37,887.56, a rise of 221.76 points, or 0.59% .It broke its previous closing record of 37,691.89 hit on August 6.

The broader NSE Nifty advanced 60.55 points or 0.53%  to 11,450, surpassing its previous closing high of 11,389.45 hit on Tuesday.

The top gainers

  • ONGC was the top performer among the Sensex constituents, rising 2.87% , followed by RIL.
  • Other gainers were ICCI Bank 1.63% , SBI 1.53 per cent, HUL 1.33%, Tata Motors 1.25% and Bharti Airtel 0.85%, among others.
  • On the other hand, Maruti Suzuki declined 1.99%, Bajaj Auto 0.96%, Vedanta 0.90%, NTPC 0.57%, Infosys 0.47%, ITC 0.22% and Hero MotoCorp 0.12%.