Sensex, Nifty Close At Record Highs Aided By Bharti Airtel, Bajaj Finance
India’s stock benchmarks closed at record aided by gains in telecom, technology, metals and banking stocks. Investors will look forward to India’s GDP data scheduled to be released later today, to assess the pace of economic recovery.
The S&P BSE Sensex advanced 1.16% to 57,552.39. The 30-stock index rose to a record 57,625.26 levels in intraday trade. The NSE Nifty 50 advanced by a similar magnitude to 17,132.20. The 50-stock index crossed 17,000 for the first time ever and hit a record 17,153.50 in intraday trade. Bharti Airtel Ltd. contributed the most to the index gain and had the largest move, increasing 7.0%. Today, 44 of 50 shares rose, while 6 fell.
The broader indices underperformed their larger peers with both the S&P BSE MidCap and the S&P BSE SmallCap gaining over 0.8%. All the 19 sectoral indices compiled by the BSE Ltd. advanced, with S&P BSE Telecom gaining nearly 5%. S&P BSE Teck, S&P BSE Consumer Durables, and S&P BSE Utilities added over 1.5%
The market breadth was skewed in favour of bears. About 1,571 stocks advanced, 1,625 declined and 145 remained unchanged.
“Nifty surpassed 17,000 levels within a month. Sustained buying momentum across all sectors and favourable global cues aided markets. Bharti Airtel was in focus again as clarity over fund raising and indication of tariff hike led stock to gain over 7% today”, Binod Modi wrote in a note. The Head Strategy at Reliance Securities also noted “no mention about actual timeframe for reversal of US$120bn monthly asset purchase programme by Mr. Powell in Jackson Hole Symposium and indications of no interest rate hike in the medium term essentially show that taper tantrum is still not in the sight in the near term, which augurs well for global equities.”
Infibeam Surges After Larger Rival BillDesk Acquired By Prosus
Shares of Infibeam Avenues, a Mumbai-listed provider of digital payment solutions, advanced 19.92%, the most in five months, to Rs 47.85 apiece after its larger rival BillDesk was acquired by technology investment firm Prosus NV for $4.7 billion.
Co. aims to have overall Total Payments Volumes (TPV) of $100 billion over the next 4-5 year versus $13.8 billion for the year ended March , Managing Director Vishal Mehta said in annual report for FY21
S&P BSE Telecom Index: Top Sectoral Gainer, Airtel Up Nearly 7%
Rupee Gains Past 73 Per Dollar, First Time Since June
The Indian rupee gained past 73 to a U.S. dollar for the first time since June amid a risk-on sentiment and inflows into local stocks.
U.S. Dollar/Indian Rupee down 0.3% to 73.0250 after touching 72.9875, the lowest since June 11.
Bajaj Finance Gains The Most In 12 Weeks
Shares of Bajaj Finance Ltd. climbed 5.27%, the most in 12 weeks, to Rs 7,543 apiece.
Trading volume was 2.45 million shares, 96% above the 20-day average of 1.25 million shares for this time of the day.
The relative strength index on the stock was above 70, indicating it may be overbought.
Analysts have 14 'buy', 9 'hold' and 7 'sell' recommendations on the stock. The overall consensus price of analysts tracked by Bloomberg implied a downside of 19.9%.