Mid-cap indices hit record high

MRF, TVS Motor, Bajaj Electricals, Max India, Natco Pharma and Firstsource Solutions rallied between 5-12%.

Shares of mid-cap companies back into action with the National Stock Exchange (NSE) CNX Mid-cap and the BSE S&P BSE Mid-cap indices have touched their respective record highs today.

At 1357 hours, CNX Mid-cap index was up 1.6% at 12,686 points, while S&P BSE Mid-cap index up 1.5% at 10,512. Both these indices hit a fresh record high of 12,700 and 10,528 respectively during intra-day deals.

MRF, TVS Motor Company, Bajaj Electricals, Max India, Natco Pharma, Sadbhav Engineering, Hatsun Agro Products, Engineers India, Indian Bank, Firstsource Solutions and Triveni Turbine have rallied between 5-12%.

Torrent Pharma, Bajaj Corp, Britannia Industries, Tata Chemicals, ING Vysya Bank, Havells India and Pfizer are among 15 stocks that hits record high during intra-day deal today.

According to analyst at Angel Broking, broader interest rates, including bond yields are likely to head around 100bps lower over the next year which would be positive for the investment cycle and GDP growth going forward.

The Reserve Bank of India (RBI) policy tone has clearly become far more dovish. In fact, the policy more or less indicates that by March-April 2015 itself, the RBI is likely to start cutting interest rates. Once stance changes, it will remain accommodative over sustained period of time, analyst said in a report.

RBI has kept key policy rates unchanged in its fifth bi-monthly policy review on Tuesday.