Sharp upside momentum continued in the market for the fourth consecutive session on Monday, with benchmark indices closing at fresh highs. Strong GST collection that crossed ₹1.60 lakh crore mark in June, recovery in the monsoon, and a stable interest rate scenario worldwide pushed the Sensex up to closes above the 65000 mark even as the Nifty crossed the 19300 level.
Rakeshh Mehta, Chairman at Mehta Equities Ltd said, “India is truly standing out and performing better than most global peers, with another record high from the benchmark Sensex, Nifty, and Bank Nifty. Now Nifty is showing lots of resilience, indicating all bullish trends inching towards the 20k mark in the medium term. The mood in the frontline market is very optimistic looking at the aggressive FII inflows and the settling down of global macro headwinds followed by better than strong domestic microeconomic data.”
Sensex finally closed 487 points, or 0.75 per cent, higher at 65,205.05, while the Nifty ended at 19,322.55, up 134 points, or 0.70 per cent.
Broader markets ended in green as the Nifty Mid Cap and Nifty Small Cap were up 0.3 per cent and 1.2 per cent respectively. The majority of sectoral indices ended in the green for the week. Nifty PSU Bank (+3.6%), Nifty Oil & Gas (+2.3%), and Nifty FMCG (+1.1%) were the major gainers. Nifty Pharma and Nifty Healthcare were the major laggards, which were down 1.1 per cent and 0.9 per cent, respectively.
Shrikant Chouhan, Head of Research (Retail), Kotak Securities Ltd said the rally may remain strong with good foreign fund inflows in the near term. “Technically, the Nifty hovered between the 19250 to 19335 price range, with the short-term technical setup still on the positive side. However, due to temporary overbought conditions, we could see some profit booking at higher levels. For traders, 19250–19180 would be the key levels to watch out for, while 19400–19435 could act as a crucial resistance zone.”