)
Shares of banking and automobiles, along with Infosys and Cipla have helped the benchmark index, the S&P BSE Sensex, scale new high on Thursday.
Four stocks each from banking and auto sectors, information technology major Infosys and pharmaceutical company Cipla have collectively contributed nearly 470 points rise in benchmark index since September 8.
The S&P BSE Sensex surged 248 points or 0.92% to close at its record high levels of 27,346. Earlier on September 8, 2014, the index closed at 27,319.85.
HDFC Bank, ICICI Bank, State Bank of India (SBI) and Axis Bank from banking sector contributed 172 points, while Maruti Suzuki India, Bajaj Auto, Hero MotoCorp and Tata Motors from auto pack contributed 155 points in Sensex rally. Infosys have contributed 92 points and Cipla 51 points during the period.
According to market experts, rate sensitives like private banks, automobiles, non-banking finance companies (NBFCs), capital goods have been the flavor as the participants now expect a rate cut sooner than later.
“Markets have been on an upward trajectory since the last few days on the back of renewed vigor shown by the government to initiate reforms, lower crude prices, lower inflation, supportive global cues & decent earnings,” said Devang Mehta, Senior VP & Head - Equity Advisory, Anand Rathi Financial Services.
“Though the Quantitative Easing ended, but the Federal Reserve keeping the "considerable period of time" stance for raising interest rates until it sees more improvement in the economy, cheered the markets. The companies which have delivered stellar earnings & good quality mid caps are back on the radar,” Mehta adds.
Meanwhile, oil and gas shares mainly Oil and Natural Gas Corporation (143 points) and Reliance Industries (117 points) have collectively dragged the Sensex down by 260 points during the period.
Mahindra and Mahindra (57 points), Tata Consultancy Services (52 points), Sesa Sterlite (42 points), Sun Pharmaceutical Industries (35 points) and Tata Steel (33 points) have contributed 219 points fall in Sensex during the period.
