rediff.com

NewsApp (Free)

Read news as it happens
Download NewsApp

Available on  

Rediff News  All News 
Rediff.com  » Business » Markets eke out record closing highs

Markets eke out record closing highs

Last updated on: May 30, 2017 17:23 IST

S&P BSE Sensex settled at 31,170, up 60 points, while the broader Nifty50 closed at record high for third straight session. It ended at 9,624, up 19 points.

Markets settled the day on fresh highs with Nifty50 settling above the 9,600 mark for the second consecutive session as arrival of monsoon rains cheere but the gains were capped as the investors booked profit in recent outperformers.

The monsoon, which delivers about 70% of India's annual rainfall, arrived at the southern Kerala coast on Tuesday, in line with forecasts, brightening the outlook for higher farm output and robust economic growth. Simultaneously, the onset is also likely over Lakshadweep, coastal Karnataka, some parts of Tamil Nadu and most parts of northeastern states in the next 24 hours.

Ending at fresh high for the fourth consecutive session, S&P BSE Sensex settled at 31,170, up 60 points, while the broader Nifty50 closed at record high for third straight session. It ended at 9,624, up 19 points.

In the broader market, the S&P BSE Midcap gained 0.8%, while the S&P BSE Smallcap (up 0.5%) continued to trade flat.

The market breadth remained in favour of declines as about 1427 shares were in red against 1168 advancing shares on the BSE.

"Market traded range bound as investors started booking profit due to recent rally. The arrival of monsoon ahead of IMDs schedule and the buoyancy to drive the consumption demand will keep the positive vibes in the market. Health care sector rebounded after a sharp correction due to the advantage of valuation and a prospect on long term story," said Vinod Nair, Head of Research, Geojit Financial Services in a note.

Buzzing stocks

S&P BSE Healthcare was the top sectoral gainer, snapping 10-day losing streak led by Aurobindo Pharma.

Among gainers, Aurobindo Pharma climbed 13.4%, posting its biggest intraday gain in over three years, after it said that it did not expect price erosion in the US to impact the company too much due to its wider product basket compared to competitors.

Anil Dhirubhai Ambani Group stocks rebounded after a 6-18% correction in previous session. Reliance Infrastructure, Reliance Defence, Reliance Capital and Reliance Power gained 1-3% in today’s trade.

Reliance Communications extended fall for third consecutive session, dropping to its lowest level of Rs 18.95, down 7.5% at intra-day but later rebounded to end 2% down at close.

ITC lost 1.4% after gaining 13.6% this month as investors booked profit in the stock.

Meanwhile, Coal India hit a more than three-year low after the coal miner posted a 38% fall in consolidated quarterly profit, missing analysts estimates, hurt by higher costs. The stock later rebounded to end flat on the benchmark indices.

Jubilant Foodworks erased losses to end 3.2% lower after falling as much as 13.1% to post its biggest intraday loss in over 15 months after it reported a 76% drop in March quarter profit.

Global markets

European geopolitical fears sapped risk appetite, weighing on Asian stocks and lifting safe havens including the yen and gold, though trading was thin with several markets closed for holidays.

The pan-European STOXX 600 index was down 0.2% following three straight days of losses while Britain's FTSE dropped 0.4% as it reopened following a long weekend.

MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.2% with US and British markets closed on Monday. China, Hong Kong and Taiwan markets are closed for holidays on Tuesday.

Japan's Nikkei ended flat, held back by a stronger yen whereas South Korea's KOSPI fell 0.4% as investors took profits following the market's record-breaking rally this month.

Pranati Deva in New Delhi
Source: