Sensex Ends Higher by 308 Pts, RIL Top Contributor

The Indian bourses recorded all-time highs in the intraday session on Friday, May 28. Index heavyweights Reliance and HDFC twins lifted the Sensex to close higher by 307.66 points at 51,422.88, while the Nifty-50 recorded its all-time high at 15,469.65.

The 30-share pack Sensex recorded gains in 13 shares and declines in 17 scrips. Shares of Reliance Industries gained over six per cent in the day's trade and contributed the most in the rally on Friday. HDFC twins, Kotak Mahindra Bank, and IndusInd Bank surged over a per cent each in the day's trade.

Among the sectors, except IT and Pharma, all other sectors witnessed buying interest and ended in the green territory. The Energy pack gained the most led by shares of Reliance, BPCL (+0.78 per cent), and ONGC(+0.45 per cent).

On the flipside, Sun Pharma (-4.25 per cent), Bajaj Finserv (-1.48 per cent), and Shree Cements (-1.46 per cent) were the top laggards for the index on Friday.

What is driving the markets?

On the domestic front, the daily fresh Covid-19 cases subsiding continuously and with positive sentiments from news of unlocking of the economy in June are acting as major positives for the market participants, said experts. Globally, the opening of economic activities in the western countries and further the U.S government keeping the central bank rates loose amid inflation ticks have lifted the sentiment.

Experts feel that the momentum is likely to continue further in the near term on better vaccination drive and the receding impact of the second wave in the country.

"As the 2nd Covid-19 wave continues to recede in India and pace of vaccination expected to pick up from next month, we expect the long-term fundamentals to remain intact and the journey to becoming a little smoother,“ said Hemang Jani of Motilal Oswal Financial Services.