Buoyed by robust quarterly gains and positive sentiment in other Asian markets, the Sensex and Nifty continued their upward streak. The Sensex, which comprises of 30 stocks, ended the day 199 points higher at 30,133. Meanwhile, Nifty, which had breached the 9,000 mark yesterday, too extended its gain to 9,351, up 45 points from Tuesday’s close.
Ealier, the Sensex had hit an all-time high of 30,024.74 on Wednesday, March 4, 2015. The benchmark index has thus surpassed that level after a gap of more than 2 years.
President Donald Trump’s tax reform proposals, which entail a cut in the corporate tax rates, fanned the market rally. Overall, Asian markets, ended on a positive note for the fifth consecutive day.
“Market has made a higher-high on account of rising global optimism due to ease in political risk in Euro zone and expectation of tax reform in the US,” Vinod Nair, Head of Research, Geojit Financial Services was quoted as saying in the Business Standard.
Back on the Indian bourses, the biggest gainers on Senses were Mahindra & Mahindra whose stock rose 3.6% and ITC which rose 3.3%.
ITC, along with Marico and Britannia which zoomed 2-3% propelled Nifty FMCG. Bank Nifty too closed at a high of 22,243, primarily on the gains recorded by ICICI Bank and Yes Bank.
“Volatility emerged during the late hours due to profit booking but short-covering ahead of the expiry navigated the direction back to north,” Nair said, explaining the intraday movement.
Experts aver that small investors should remain cautiously optimistic in the short term. They should keep cash handy and benefit in case the markets fall.