Mumbai: Equity markets soared tracking gains in the overseas equities after soft US inflation data eased concerns regarding aggressive hike in interest rate by the US Federal Reserve.
A better than expected results from a few index heavyweight in the last few days also helped the markets to maintain its positive momentum.
The Nifty scaled above its key psychological resistance level of 10,800, gaining 89.95 points or 0.84 per cent to close the day at 10,806.50. The Sensex surged 289.52 points or 0.82 per cent to close at 35,535.79.
However, experts are not that enthused by the current rally and has turned slightly cautious as the small- and mid-cap indices have failed to keep pace with their large-cap counterparts. “There have been some stellar results this week by companies such as Titan, Nestle reporting strong growth of 70 per cent and 38 per cent respectively in their bottom line. However, Nifty 50 is marching upward with lesser velocity. The upward rally has lasted for nearly 32 days and statistically these many days rally turn out to be a turning point. Other indices are showing divergences which indicates that Nifty50 is the lone runner when other are under pressure,” observed Jimeet Modi, founder & CEO, SAMCO Securities.
According to the provisional data released by the stock exchanges, foreign portfolio investors sold shares worth Rs 325.44 crore.
