There's no stopping the bulls as the markets scaled yet another fresh peak on Wednesday. After opening on a muted note and trading in a thin range for a while, the markets made a sharp comeback in the second half of the session.
The S&P BSE Sensex topped the 44,000-mark to end the day at 44,180 levels, up 227 points, or 0.52 per cent while NSE's Nifty closed the session at 12,938, up 64 points, or 0.5 per cent. Volatility index, India VIX, slipped nearly 3 per cent to 19.26 levels.
Larsen & Toubro (L&T), ICICI Bank, and Mahindra & Mahindra (M&M) were the top contributors to the Sensex's gain today while Infosys, TCS, and Hindustan Unilever (HUL) were the top drags.
Among sectoral indices on the NSE, Nifty PSU Bank index gained the most - up 3.57 per cent, followed by Nifty Auto (up 3 per cent to 8,687 levels). On the other hand, Nifty FMCG slipped over 1 per cent to 30,953 levels.
In the broader market, the S&P BSE MidCap index advanced over 1 per cent to 16,344 levels and the S&P BSE SmallCap index closed at 16,054, up 144 points, or 0.9 per cent. According to analysts, the mid and small-cap segments are expected to outperform their largecap peers in 2021. Though there can be intermittent corrections, stock selection will be key.
Portfolio returns, as per Morgan Stanley, are more likely to be driven by bottom-up stock picking going ahead rather than top-down macro forces.
Among individual stocks, M&M ended 11% higher at Rs 705.6 on the BSE after the company said it will make new K2 series tractors in Telangana.
Meanwhile, L&T gained over 6% to 1,148 after the company said its construction and mining equipment business has secured one of its biggest orders ever to supply 46 units of Komatsu mining equipment to Tata Steel.
Global shares stepped back on Wednesday as soft US retail sales fuelled worries that rising coronavirus cases could hit a still fragile economic recovery, dampening the euphoria from vaccine trial breakthroughs.
In commodities, oil prices edged higher on hopes for a delay in OPEC+ supply increase.