Nifty, Sensex hit record highs amid robust quarterly results and strong macroeconomic data.

Nifty, Sensex hit record highs amid robust quarterly results and strong macroeconomic data.

Last updated: 16 Oct, 2021 | 05:57 am

Nifty, Sensex hit record highs amid robust quarterly results and strong macroeconomic data.

The key equity indices started off with decent gains on Monday after touching record high in afternoon trade. However, the gains were capped due to mixed global cues. All the sectoral indices on the NSE ended in the green except IT. Banks, Auto and realty shares rallied. 

On Tuesday, the equity benchmarks climbed for the fourth session in a row after the volatile session. Negative global cues, high crude oil prices and weak rupee capped gains. PSU banks rallied while consumer durable stocks extended gains in anticipation of festive season. 

On Wednesday, the equity indices settled with strong gains with both the indices hitting record high in the afternoon trade. Barring Nifty Realty all other indices settled green. Tata Group stocks surged on the back of a $1 billion investment from TGP group.

On Thursday, the domestic equity indices settled with significant gains extending their winning run to sixth consecutive session. Positive global cues and robust quarterly results by Mindtree, Wipro and Infosys boosted sentiments. Both the indices obtained record closing levels with Nifty closing 2.39% and Sensex closing 2% higher for the week.

The Indian stock market is closed on Friday on the account of Dussehra.

Top gainers and losers

  •  Tata Motors was the highest gainer again this week due to strong auto sales data for the month of September and potential investment of $1 billion by TGP group in ites EV segment. Other gainers included ITC, Adani port, Grasim and Power Grid.
  • IT giant TCS was the top loser as its quarterly results failed to meet street expectations. Other losers included HCL Tech, Coal India, Bharti Airtel and ONGC.
  • All sectoral indices gained this week with Nifty PSU, Auto and Metal among the top gainers this week.

Here is a quick recap of the market moving developments:

Macro Economic Data: The International Monetary Fund said that the Indian economy is expected to grow by 9.5% in 2021 and 8.5% next year. India’s industrial production rose 11.9% in Aug 21 with the manufacturing sector rising by 9.7%.  Retail Inflation eased to 4.35% in Sep 21 however, India’s wholesale price index rose 10.66% in Sep 21 primarily due to rise in prices of mineral oils, food and non food articles and crude petroleum and natural gas.  

Quarterly Earnings:  All major IT companies reported their quarterly results this week. While Wipro, Infosys and Mindtree have reported strong sets of numbers, TCS and HCL tech’s Q2 earnings came below street estimates. All these companies witnessed a slight pressure on its margins due to wage hikes and supply side disruptions. However, they saw a steady growth in acquisition of new deals with billions.

IPO Listing: Shares of Aditya Birla Sun Life AMC IPO which started trading on Monday settled at Rs 699.65, a discount of 1.73% compared to the issue price of Rs 712 per share. The shares were listed at par.  The issue was subscribed 5.25 times.

That’s all for this week’s market wrap. We will be back with more interesting market insights in the next week!

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