Nifty rallies to 30-month high; bank stocks shine
Mumbai: Heavy buying in financial stocks amid interest rate cut hopes Thursday lifted the National Stock Exchange benchmark index Nifty up by 23 points and led it to close at fresh 30-month high.
After the overnight stellar rally, market maintained a cautious undertone through out the day and mostly moved in a narrow range while consolidating gains.
Banking stocks attracted investors' fancy for a second straight day followed by realty and energy stocks.
Trading began on a soft note following profit-taking in select frontline heavyweights amid nervousness as valuation looked a bit stretched after the 151-point rally.
Overcoming inital sluggishness, the key index picked up momentum in late morning and rallied further to touch the day's highest point.
However, market encountered modest profit-taking at higher levels and gave away most of its early gains but managed to end in the green. FMCG, technology, auto and pharma counters witnessed good amount of selling.
On the global front, Asian markets ended mixed while Japan's Nikkei index closed off its five-and-a-half year peak despite strong growth data. European stocks were marginally low in early trade, taking a breather after rallying to multi- year highs.
The 50-share Nifty fluctuated between a high of 6,187.30 and low of 6,128.25 before ending at 6,169.90, a rise of 23.15, or 0.38 percent, over its last close.
JP Associates, IDFC, Sesa Goa, Lupin, Cipla, Ranbaxy, Dr Reddy's, Hindalco, Reliance and Grasim were among the notable gainers. The key losers included NMDC, Tata Motors, Jindal Steel, ITC, Bajaj Auto, Heoro Moto, Infosys, TCS, Tata Power and HCL Tech.
Turnover in the cash segment fell to Rs 12,696.84 crore from Rs 12,896.34 crore yesterday. A total of 6,940.67 lakh shares changed hands in 60,988,93 trades. Market capitalisation stood at Rs 67,15,764 crore.