Sensex, Nifty at record highs on GDP data, foreign fund inflows
Benchmark equity indices Sensex and Nifty rallied more than one-and-a-half per cent to hit their lifetime highs on Friday helped by impressive GDP data and fresh foreign fund inflows.
The 30-share BSE Sensex jumped 1,245.05 points or 1.72 per cent to reach 73,745.35 -- its all-time closing peak. During the day, it zoomed 1,318.91 points or 1.81% to hit a record intra-day high of 73,819.21.
The Nifty climbed 355.95 points or 1.62% to settle at a new closing high of 22,338.75. During the day, it soared 370.5 points or 1.68% to reach its intra-day record peak of 22,353.30.
A rally in global markets and auto sales numbers added to the positive momentum in the equity markets, analysts said.
Among the Sensex firms, Tata Steel jumped over 6% while JSW Steel climbed more than 4%. Larsen & Toubro, Titan, Maruti, IndusInd Bank, ICICI Bank and Tata Motors were the other major gainers.
HCL Technologies, Infosys and Tech Mahindra were the laggards.
India’s economy grew by better-than-expected 8.4% in the final three months of 2023 -- the fastest pace in one-and-a-half years.
The growth rate in OctoberDecember was higher than 7.6% in the previous three years, and it helped take the estimate for the current fiscal (April 2023 to March 2024) to 7.6%, according to the data released by the National Statistical Office (NSO) on Thursday.
India’s manufacturing sector growth climbed to a five-month high in February amid a sharper uptick in factory production and sales, supported by both domestic and external demand, a monthly survey said on Friday.
The seasonally adjusted HSBC India Manufacturing Purchasing Managers’ Index (PMI) rose from 56.5 in January to 56.9 in February, pointing to the strongest improvement in the health of the sector since September 2023.
“Better-than-expected Q3 FY24 GDP and ease in US inflation added buoyancy in both domestic and global markets. As the general election draws closer, stellar economic growth data raised confidence among investors for a pre-election rally.”
On the global front, in-line US personal consumption expenditure data and benign Euro zone inflation will influence global central banks to take a dovish view on interest rates,” said Vinod Nair, Head of Research, Geojit Financial Services.In the broader market, the BSE midcap gauge jumped 0.89 per cent and smallcap index climbed 0.68 per cent.
Among indices, metal zoomed 3.84%, capital goods went up by 2.49%, bankex climbed 2.48%, auto advanced 2.23%, energy (2.14% per cent), oil & gas (2.14%), commodities (2.12%) and industrials (1.91%).
IT and tech were the laggards. A total of 2,387 advanced while 1,451 declined and 109 remained unchanged.