Markets attains record closing high in truncated week

Mumbai: The benchmark Sensex surged for the fifth straight week, as the benchmark Sensex jumped 303.92 points to end the week at a new record high at 38,251.80, while the broader Nifty also hit fresh all-time highs at 11,557.10, up 86.35 points.

The truncated trading sentiment, however, was fragile amid escalating trade war tensions and firmness in crude oil prices. Buying by Domestic funds and FIIs as well as stock- specifics ruled the momentum, gains in index heavy-weights. Rupee recovery and lower crude along with reversal in FIIs buying mode and stock-specifics news kept the rallying momentum.

The key indices witnessed selling pressure mainly in consumer durables, bankex, IT, realty and teck stocks on depreciating rupee, however strong buying in capital goods, power,healthcare, metal and oils&gas shares countered losses.

The stock market was closed on August 22 due to "Bakri Eid" holiday. The BSE Sensex started the week higher 38,075.07 and touched a all-time high of 38,487.63 before ending the week at 38,251.80, showing a smart rise of 303.92 or 0.80 per cent.

(The Sensex garnered 1,676.78 points or 4.56 per cent during past four week sessions). The Nifty also resumed higher by 11.502.10 and touched a fresh all-time high at 11,620.70, before the index finally finishing 11,557.10, a rise of 86.35 points, or 0.75 per cent.

The broader midcap rose by 1.51 per cent, with small companies ended lower by 1.78 per cent, showing a mixed trend. Buying was led by capital goods, power, healthcare, metal, oils and gas, fmcg and auto sectors. While, consumer durables, bankex, IPO, realty, teck counter suffered losses.

Overseas at New york market, the S&P 500 index finished at an all-time high yesterday, snapping a 145-day run without a record close. Stocks got catapulted higher yesterday after Jerome Powell affirmed the Federal Reserves strategy of gradually normalizing monetary policy, highlighting the strength in the economy and robust corporate results that have helped to support investment appetite for equities. 

The BSE Mid-Cap index rose 246.30 points or 1.51 per cent to settle at 16,552.74. The BSE Small-Cap index fell 1.78 points or 0.01 per cent to settle at 16,864.43.

Meanwhile, foreign portfolio investors (FPIs) and foreign institutional investors (FIIs) bought shares worth Rs 198.85 crore during the week, as per Sebi's record including the provisional figure of August 24, 2018.

Among sectoral and industry indices, capital goods rose by 4.80 per cent, power 3.25 per cent, healthcare 3.11 per cent, metal 2.52 per cent, oil and gas 1.85 per cent, FMCG 0.63 per cent, PSU 0.53 per cent and auto 0.38 per cent, while consumer durables fell by 1.83 per cent, bankex 1.33 per cent, IPO 0.79 per cent, IT 0.26 per cent, realty 0.22 per cent and teck 0.14 per cent.

Among the 31-share Sensex pack, 18 stocks rose and remaining 13 stocks fell during the week. Engineering and construction major L&T was the top Sensex gainer last week. The stock gained 8.26 per cent to Rs 1,342.80.

The board of directors of the company at its meeting held on 23 August 2018, has approved a proposal to buyback up to 6 crore equity shares of the company, being 4.29 per cent of the total paid up equity share capital, at a maximum price of Rs 1,500 per equity share for an aggregate amount of Rs 9000 crore.

It was followed by ONGC 7.23 per cent, Reliance 6.20 per cent, Wipro 4.54 per cent, Vedl 4.16 per cent, NTPC 3.99 per cent, Coal India 3.27 per cent, Tata Motors DVR 2.43 per cent, Axis Bank 1.99 per cent and Power grid 1.90 per cent.

While, Yes Bank fell by 4.64 per cent followed by Infosys 3.59 per cent, Indus Ind Bank 2.96 per cent, ICICI Bank 2.93 per cent, Hero Motoco 1.11 per cent, ITC 1.08 per cent, Tata Steel 0.89 per cent, Bharti Artl 0.74 per cent and Kotak Bank 0.65 per cent.

The total turnover during the week on BSE rose to Rs 12,823.81 crs as against last weekend's level of Rs 11,805.24 crores and NSE jumped to 1,36,393.24 crores compared to Rs 1,24,798.55 crores previously.