Sensex hits four-week high

The BSE benchmark Sensex firmed up by 162 points to hit a nearly four-week high of 33,788 on intense buying in the banking and fast-moving consumer goods shares, as investors appeared confident in view of robust macro outlook and firm global cues.

Overall market sentiment remained buoyant after the Reserve Bank of India last week revised the growth projection upwards for the current financial year to 7.4 per cent and lowered the inflationary forecast to 4.7-5.1 per cent for the first half of FY19.

“Market extended gains tracking positive cues from Asian and European peers on account of lower-than-expected US non-farm payrolls easing concerns about sharp rise in US interest rates. Benign inflation, expectation of lower crude oil prices on higher production from the US and good Sensexmovement Apr 6,’18 Apr 9,’18 33,900 33,800 33,700 33,600 33,500 monsoon in India will provide support to the market,” said Vinod Nair, head (research), Geojit Financial Services.

Investors’ focus is being shifted to upcoming results while industrial output data and retail inflation numbers would determine the trajectory of the market for the week, Nair added.

A firm trend in other Asian markets and a higher opening of European shares on easing concerns about a sharp rise in US interest rates also helped to boost the sentiment.

The Sensex opened strong and continued to rise on persistent buying activity and hit a high of 33,846.50 but profittaking at the fag end trimmed gains to some extent and settled at 33,788.54, a gain of 161.57 points, or 0.48 per cent.

The Nifty50 index, too, stayed in the green for most part of the session and hit a high of 10,397.70 on Monday before closing at 10,379.35, up 47.75 points, or 0.46 per cent.

Domestic institutional investors bought shares worth ~3.3 billion, while foreign counterparts sold stocks of ~13 billion on Monday.

In the Sensex pack, Axis Bank topped the gainers’ list by surging 3.44 per cent. Among the losers, Infosys fell the most (1.62 per cent).

Sector-wise, consumer durables rose 1.70 per cent. The BSE SmallCap index rose 0.38 per cent, while the mid-cap index gained 0.16 per cent.