Mumbai, December 1
Equity benchmarks surged to lifetime closing highs on Tuesday as better-than-expected GDP data and progress on the Covid vaccine front gave fresh impetus to investor bullishness.
A strengthening rupee and persistent foreign capital inflows further boosted market sentiment, traders said.
The 30-share BSE Sensex zoomed 505.72 points or 1.15% to end at its fresh closing record of 44,655.44.
Similarly, the broader NSE Nifty surged 140.10 points or 1.08% to close at its all-time high of 13,109.05. Sun Pharma was the top performer in the Sensex pack, spurting 5.51%, followed by IndusInd Bank, Tech Mahindra, ONGC, Bharti Airtel, Infosys, ICICI Bank and Bajaj Auto.
On the other hand, Kotak Bank, Nestle India, Titan, Bajaj Finance, HDFC Bank and NTPC were among the main laggards, shedding up to 1.40%. World equities perched near all-time highs as strong factory output figures from China bolstered expectations of a swift economic recovery.
Meanwhile, Moderna Inc applied for emergency authorisation for its Covid vaccine in the US after full results from a late-stage trial showed around 94% effectiveness.
“The markets started December trading on a strong footing raising the benchmark to a fresh high due to a good GDP data. The Manufacturing PMI released today showed a slight contraction in manufacturing activities compared to the previous month, though growth remained strong.
“Markets across the globe made a positive start to the month expecting an extension of November’s record-breaking gains along with strong hopes of coronavirus vaccine. We believe that this optimism can sustain in the near term with a shift towards mid and small caps, led by lag effect,” said Vinod Nair, Head of Research at Geojit Financial Services.
India’s economy recovered faster than expected in the September quarter as a pick-up in manufacturing helped GDP clock a lower contraction of 7.5%, official data showed after market hours on Friday.
However, India’s manufacturing sector activity lost momentum and fell to a three-month low in November amid slower increases in factory orders, exports and buying levels, a monthly survey said on Tuesday.
GST collections posted growth for the third month in a row in November over the previous year’s figures.
Collections of tax on the sale of goods and rendering of services came in at Rs 1,04,963 crore in November, the Finance Ministry said. — PTI