Mid-, small-cap indices hit new peak

The Bombay Stock Exchange's small- and mid-cap indices touched an all-time high on Wednesday.

The BSE Small-cap Index closed at 10,039.38, while the BSE Mid-cap Index ended at 8,285.63 on Wednesday.

The small-cap index surpassed its earlier peak of 9,847.02 that it touched on November 5, while the mid-cap index crossed the peak of 8,135.21 that it hit on October 31. The small-cap index gained 238.09 points, while the mid-cap index rose 171.91 points.

"Since the gap in valuations between large- and mid-cap stocks is widening, many institutional investors have been looking at mid-cap companies, resulting in a faster rise in the indices representing these firms. The catch-up game is beginning," said Almondz Securities CEO Harjit Singh Sethi.

The BSE Sensex Today reported a record single-day gain of 893.58 points after the positive political news and strong global cues. The index closed 19,929.06, a 4.69 per cent rise over the previous day's close of 19,035.48.

However, the Sensex is still below its all-time closing high of 19,977.67 that it touched on October 29. The Sensex has recovered 9.6 per cent of the previous six trading days' loss in just two trading days.

The benchmark index recovered by 1,191.79 points (up 893.58 points yesterday) and (up 298.21 points on Tuesday) after losing 1,238.96 points in the six trading days between November 5 and 12.