Sensex, Nifty Extend Rally To End Near Two-Month High
Closing Bell: Sensex, Nifty Extend Rally To End Near Two-Month High
Indian equity benchmarks extended rally for the second consecutive trading session to end near a two-month high.
The S&P BSE Sensex closed 2.83 percent or 1,075.41 points higher at 39,090.03 and the NSE Nifty 50 ended 2.92 percent higher at 11,603.40. The broader markets represented by the NSE Nifty 500 Index advanced 2.78 percent.
International research firm Nomura expects Nifty to reach 12,545 by March on the back of a potential 7 percent earnings increase in the current and the next financial year, according to its research report.
The cut in corporate tax rates on domestic businesses is positive for corporates, economy and market valuations, according to the broking firm. “The move should help improve the competitiveness of Indian corporates to an extent,” Nomura said in a note.
The market breadth was firmly tilted in favour of buyers. About 1,189 stocks advanced and 620 shares declined on National Stock Exchange.
Nine out of 11 sectoral gauges compiled by NSE ended higher, led by the NSE Nifty Private Bank Index’s 5.64 percent advance. On the flipside, the NSE Nifty IT Index was the top sectoral loser, down 2.88 percent.
From Bloomberg: NSE Brokers In Mumbai Complain Of Disruption In Price Feed
The brokers in the National Stock Exchange in Mumbai today complained about the disruption in price feed, Bloomberg reported without mentioning the source of information.
Oil Marketers Advance On Falling Crude
Shares of the oil marketing companies extended gains for the second consecutive trading session.
This after Brent crude fell for the second straight session. The Asia’s crude benchmark declined 0.7 percent to $63.83 a barrel.
Money Market Update: Rupee Trades Little Changed
The Indian rupee traded little changed at 70.92 against the U.S. dollar.
The home currency had depreciated 0.19 percent against the greenback during the opening trade. The local legal tender appreciated 0.67 percent so far this month after depreciating 3.79 percent in August.
Bond Market Update: 10-Year Yield Swing On Report Government Said To Keep Borrowing Unchanged
The yield on the 10-year note fluctuated between gains and losses to trade one basis point lower at 6.77 percent.
The government is said to refrain from extra borrowings in the second half of the current fiscal, Bloomberg reported quoting people familiar with the matter.
The finance ministry officials and the country’s central bank will meet tomorrow to finalise the borrowing schedule for October-March period, the report added.
Fab Four Stocks Of The Day
Lemon Tree Hotels
- Stock rose as much as 15.7 percent to Rs 62.25.
- Government cut GST rates on hotel tariffs in an attempt to boost India's domestic tourism industry.
- Stock rose as much as 5 percent to Rs 40.75.
- The company Increased polymerisation capacity by 150 tonnes per day and added machinery for 170 tonnes per day yarn at Dahej unit.
- Stock rose as much as 6.5 percent to Rs 1,345.
- Company to meet Rakesh Jhunjhunwala-backed Rare Enterprises today.
- Stock rose as much as 10.85 percent to Rs 25,088.90.
- Fresh longs seen with high open interest of 26 percent.