Nifty50 breaches 18,000-mark for the first time; IT disappoints

The Nifty50 on Monday breached the 18,000-mark for the first time. But it came off the day’s high to end at 17,945 amid selling in technology stocks and profit-booking in RIL. Global markets traded weak as surging oil prices added to inflation worries.

In intraday trade, the Nifty hit a high of 18,042. “The Nifty touching an all-time high level of 18,000 is a journey and not a destination. The market is driven by triveni sangam of positive sentiment, fund flows from domestic and global investors, and improving corporate profitability. The festival season has begun with a bang and supported positive momentum,” said Nilesh Shah, group president & MD, Kotak Mahindra Asset Management Company.

The Sensex rose 77 points, or 0.13 per cent, to close at a fresh lifetime high of 60,136. It rose as much as 417 points to hit an intraday high of 60,476.

The biggest drag on the benchmark indices was Tata Consultancy Services (TCS). Its stock fell 6.3 per cent amid concerns that large deals that led to the gains in the stock last year were drying up. Other IT stocks — such as Tech Mahindra, Infosys, and HCL Technologies — also fell, weighing on the market performance. The BSE IT index fell nearly 3 per cent. Reliance Industries, after rising over 2 per cent, ended the day 0.7 per cent lower.

All the sectoral indices, barring four, ended the session with gains. Utility and power stocks gained the most, and their gauges gained 2.8 and 2.6 per cent, respectively.