Sensex perches near lifetime high; posts weekly gain

The BSE benchmark Sensex notched up gains for the sixth straight session on Friday as risk sentiment remained skewed towards equities even amid lacklustre macroeconomic data.

After a see-saw session, the 30-share index settled 35.98 points, or 0.09 per cent, higher at 40,165.03. The index is about 100 points shy of its all-time closing high of 40,267.62, hit on June 3 this year.

The broader NSE Nifty advanced 13.15 points, or 0.11 per cent, to close at 11,890.60.

During the week, the Sensex rose 1,106.97 points or 2.83 per cent, while the Nifty gained 306.70 points or 2.64 per cent.

Top gainers in the Sensex pack on Friday included IndusInd Bank, Tata Steel, Vedanta, Tech Mahindra, ONGC, Axis Bank and ITC, rising up to 5.18 per cent.

On the other hand, Yes Bank was the biggest laggard, tumbling 5.46 per cent, ahead of its quarterly results.

TCS, M&M, Asian Paints, Tata Motors, L&T, HCL Tech and NTPC too lost up to 3 per cent.

Recent peaks were short-lived and profit booking emerged especially in companies that rallied substantially in the past few weeks, analysts said.

Investor sentiment was also subdued after official data showed that output of eight core infrastructure industries contracted by 5.2 per cent in September, the lowest in a decade, indicating the severity of economic slowdown.

Moreover, manufacturing activity continued to weaken in October, with factory orders and production rising at the weakest rates in two years.

"Market traded flat due to weak monthly two-wheeler sales and manufacturing growth for the month of October. During the last 5 weeks, market has rallied near to the all-time high, this trend may continue in the short-term but... possibility of further stimulus from the government seems limited in the short-term.

"Government fiscal position going forward will depend on divestment and other sources of revenue. Bond yields fell today given weak fiscal position," said Vinod Nair, Head of Research, Geojit Financial Services.

Sectorally, BSE metal, telecom, bankex, realty, finance, healthcare and FMCG indices rose up to 2.50 per cent.

On the other hand, consumer durables, IT, auto, capital goods, oil and gas, energy and teck lost up to 1.16 per cent.

The broader BSE midcap and smallcap indices settled up to 0.45 per cent higher.

Globally, bourses in Shanghai, Hong Kong and Seoul settled higher on optimism over the US-China trade deal, while Tokyo ended in the red.

Exchanges in Europe were trading on a positive note in their respective early deals.

Meanwhile, the Indian rupee appreciated marginally to 70.89 against the US dollar intra-day.

Brent crude futures, the global oil benchmark, rose 0.40 per cent to USD 59.86 per barrel.