Nifty, Sensex Maintain Gaining Streak For Third Consecutive Session; Small-cap Booms

he Indian stock market recorded a gaining trading session on Tuesday after the benchmark indices, Nifty and Sensex closed in green territory for the third session. However, experts believe as the phase four voting unfolds the picture is still vague in terms of the market's direction. 

The National Stock Exchange (NSE) Nifty 50 index concluded 113 points higher at 22,217 with 0.51 per cent gain, whereas the S&P Bombay Stock Exchange (BSE) Sensex settled with 328 points or 0.45 per cent gain at 73,104 levels on the closing bell. 

Nifty Moves

In the Nifty50 index, 34 stocks ended in the green territory while 16 stocks concluded with loss in the session. 

Adani Enterprise topped the index with 5.49 per cent followed by more than 3 per cent gain in Mahindra & Mahindra and Hero motocorp. Larsen and Toubro, JSW Steel ONGC and Hindalco also traded more than 2 per cent higher.

Conversely, in the laggard segment, Cipla plunged 4.05 per cent followed by more than 1 per cent loss in TCS, Nestle India and Tata Consumer.

Analysts Note

“Market is playing a wait and watch game as the polling season is underway and it's difficult to predict that a three-day rally would sustain going ahead, but Sensex closing above the crucial 73,000 mark holds the key. Surprisingly, investors continue to find value in mid and small-cap stocks at a time when investors usually keep a low profile during the election season,” said Prashanth Tapse, Senior VP (Research), Mehta Equities.

Sectoral Movement
In terms of sectoral performance, metal displayed its robust strength and surged 2.77 per cent followed by 1.83 per cent rally in Auto. PSU Bank inched 1 per cent higher while Realty gained 0.88 per cent. In contrast, Finance and IT remained muted, while FMCG and Pharma clocked losses.  

The more domestically focussed indices, mid-cap gained almost 1 per cent while small cal index soared above 2 per cent.

Stocks Specific 
Hindalco surged above 2 per cent to Rs 646 after it made public that its aluminium goods manufacturer, Novelis filed for its initial public offering (IPO) in the US. 

Shriram Finance gained 1.25 per cent to Rs 2,330 after it divested its entire stake in Shriram Housing Finance for Warburg Pincus for Rs 4,630 crore.

Cochin Shipyard closed with more than 12 per cent gain at Rs 1.343 after it bagged a mega order from a European firm for the design and construction of a hybrid service operation vessel.