Modi’s Guarantee Gets Nifty, Sensex To All-time High; Nifty Maintains 10-days Winning Streak
In the Nifty50 index, 44 stocks dominate with gains while 6 stocks fall into the red territory after the Modi’s bullish mood
The Dalal Street witnessed a magnificent buying in the Thursday trading session after the benchmark indices Nifty and Sensex climbed to their all-time highs after the Indian Prime Minister ensured about the massive victory of BJP. The sectoral indices also boomed with a massive buying across the indices.
The National Stock Exchange (NSE) Nifty 50 index gained 369 points and ended 1.64 per cent higher at 22,967, whereas the S&P Bombay Stock Exchange (BSE) Sensex settled 1,196 points or 1.61 per cent higher at 75,418 levels on the closing bell.
Nifty Moves
In the Nifty50 index, 44 stocks dominated with gains while 6 stocks fell into the red territory.
Adani conglomerate stocks topped the index with Adani Enterprises surged almost 8 per cent, while Adani Ports gained nearly 5 per cent after a report said that the conglomerate will invest USD 3 billion to for its ports capacity expansion.
Larsen & Toubro and Mahindra & Mahindra gained more than 3 per cent, whereas Auto stocks, Eicher Motors, Maruti and Hero Motocorp traded 3 per cent higher.
Conversely, in the laggard segment, Sun Pharma plummeted nearly 9 per cent after the weak guidance by management. Power Grid also lost 1.8 per cent after the PSU profit and revenue declined in the fourth quarter. Hindalco, Coal India, NTPC and Tata Consumers traded in the red zone.
Analyst Note
“After remaining range bound in past few sessions, benchmark indices zoomed to fresh record highs after the prime minister exuded confidence of winning the Lok Sabha elections with full majority that boosted the morale of the investors who had turned cautious over the past week or so. This came as a real booster to the markets, which had lost its sheen in recent weeks on fears of political uncertainty and its impact on growth going ahead,” said Prashanth Tapse, Senior VP (Research), Mehta Equities.
Sectoral Movement
In terms of sectoral performance, Auto displayed its robust strength and rallied 2.25 per cent. Nifty Bank surged more than 2 per cent after the central bank of India declared more than Rs 2 trillion dividend to the central government which is said to reduce the fiscal deficit.
IT also contributed with 1.28 per cent gain, 1.13 per cent gain in Realty. FMCG and Metal also remained in green throughout the session. However, Pharma remained weak and lost around half a per cent.
The more domestically focussed indices, mid-cap jumped 0.48 per cent, while small cal index moved 0.19 per cent higher.
Stocks Specific
HEG, the graphite and power equipment manufacturer plunged more 16 per cent to Rs 2,247 after the firm’s profit and revenue fell 67 per cent 11 per cent year-on-year (YoY). The firm also approved demerger of its graphite business, which accounts of 80 per cent of the revenue, into a separate entity.
Garden Reach Ship soared nearly 20 per cent to its record high of Rs 1,425 after the firm reported two-fold growth in its March quarter profit to Rs 1.12 billion, while revenue rose 69 per cent to Rs 10.16 billion.
