Sensex, Nifty on record-breaking spree as early monsoon brings cheer

Stocks continued their record- setting run for the fourth straight session on Tuesday with both the Sensex and Nifty finishing at lifetime highs as investors cheered the early arrival of monsoon.

The BSE Sensex gained over 50 points to end at a new peak of 31,159.40, while the broader Nifty spurted almost 20 points to finish at 9,624.55.

Monsoon rains hit Kerala and the North East today, two days before the normal onset date, boosting optimism about a rebound in the rural economy.

Recouping previous losses, healthcare emerged as the top performing sector as participants opted for value-buying.

The BSE 30-share Sensex resumed higher at 31,111.73 and weathered bouts of volatility to touch a new all-time intra- day high of 31,220.38, surpassing its previous record of 31,214.39, reached in yesterday's trade.

It shed some gains on profit-booking and settled at 31,159.40, up 50.12 points, or 0.16 per cent. The Sensex surpassed its previous record closing of 31,109.28 hit yesterday.

In four days, the index has gained 857.76 points.

Similarly, the broader 50-issue NSE Nifty after shuttling between 9,635.30 and 9,581.20, settled at 9,624.55, up 19.65 points, or 0.20 per cent.

It broke its previous record closing of 9,604.90, hit yesterday.

Domestic institutional investors (DIIs) have been on a robust buying spree, partly offsetting the capital outflows by foreign funds and discouraging results posted by some bluechips, brokers said.

Compiled by BS Research Bureau; Sources: Sebi, NSDL, Exchange; Bloomberg ChartMaker

DIIs bought shares worth a net Rs 290.53 crore, while foreign portfolio investors (FPIs) sold shares worth Rs 709.97 crore yesterday, as per provisional data from the stock exchanges.

However, Sebi's tightening of P-Note norms tempered the mood, they added.

"Market traded range-bound as investors started booking profit due to recent rally. The arrival of monsoon ahead of IMD's schedule and the buoyancy to drive the consumption demand will keep the positive vibes in the market.

"Healthcare sector rebounded after a sharp correction due to the advantage of valuation and a prospect of long term story," said Vinod Nair, Head of Research, Geojit Financial Services.

Among the sectoral indices, healthcare rose 2.28 per cent, followed by realty 1.16 per cent, banking 0.59 per cent, oil&gas 0.53 per cent, auto 0.48 per cent, IT 0.41 per cent and metal 0.26 per cent.

Adani Ports topped the gainers list in the Sensex pack by bouncing 3.43 per cent after the company today said it has reached an agreement with Queensland government on royalty payment for its USD 16.5 billion Carmichael coal mine project in Australia.

It was followed by NTPC 3.17 per cent, Dr Reddy's 2.33 per cent, Hero MotoCorp 2.21 per cent, ICICI Bank 1.89 per cent, Lupin 1.87 per cent, ONGC 1.86 per cent, Gail 1.68 per cent, SBI 1.55 per cent, Cipla 1.38 per cent and Axis Bank 1.34 per cent.

However, Power Grid fell 2.16 per cent, ITC 1.77 per cent, HDFC 1.18 per cent, L&T 1.18 per cent, Bharti Airtel 1.09 per cent and TCS 0.77 per cent.

Overseas, markets in Hong Kong and China were closed for a public holiday. Japan's Nikkei was down 0.02 per cent.

European shares were also weak as investors shifted their attention to political events. CAC France, FTSE London and Dax Frankfurt lost between 0.54 per cent and 0.03 per cent.