Sensex climbs 33k-points level, PSB stocks zoom

IANS
Wednesday, 25 October 2017

On intra-day record high basis, the barometer 30-scrip Sensitive Index (Sensex) of the BSE touched 33,117.33 points, while broader 50-scrip Nifty at the National Stock Exchange (NSE) reached 10,340.55-points.

Mumbai: The key Indian equity indices -- S&P BSE Sensex and NSE Nifty 50 -- breached their intra-day and closing record highs on Wednesday, a day after the government announced its plan to recapitalise public sector banks (PSB) and boost the overall infrastructure spend.

On intra-day record high basis, the barometer 30-scrip Sensitive Index (Sensex) of the BSE touched 33,117.33 points, while broader 50-scrip Nifty at the National Stock Exchange (NSE) reached 10,340.55-points.

Besides new intra-day highs, the S&P BSE Sensex which opened at 32,995.28 points, closed at a new high of 33,042.50 points, up 435.16 points or 1.33 per cent from its previous day's close at 32,607.34 points.

The index had slipped to a low of 32,804.60 points during the trade session.

Similarly, the NSE Nifty 50 closed at a new high of 10,295.35 points, up 0.86 per cent or 87.65 points.

According to market observers, an exponential rise in scrip of PSBs, a day after the government announced a massive recapitilsation scheme lifted the key indices.

"Markets zoomed higher on Wednesday to close at new life highs. The index had opened on a strong note in the morning session on the back of positive sentiments due to various measures taken by the government to spur economy including capitalisation of public sector banks and a massive road building program," Deepak Jasani, Head - Retail Research, HDFC Securities, told IANS.

"It corrected a bit early in the morning but later resumed the uptrend closing near the intra-day highs. The Sensex settled above the psychologically important 33,000 level for the first time in history."

Even global cues supported the Indian indices as major Asian and European markets ended on a positive note, barring the Nikkei index.

However, the day's trade session belonged to the PSBs and other large-cap stocks.

Dhruv Desai, Director and Chief Operating Officer of Tradebulls, told IANS: "Almost all PSBs' stocks like those of SBI, BoB and PNB rose to touch their new 52-week highs during the intra-day trade."

"The rise in PSB stocks not only lifted the sectoral index but also the benchmark indices -- BSE Sensex and NSE Nifty -- to touch their all-time highs during the intra-day trade."

"SBI was the top percentage gainer in the NSE Nifty, surging as much as 27 per cent to its highest since January 2015. L&T was the third-largest gainer in the index as it rose as much as 6.3 per cent." 

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