Firm buying in select stocks amidst cautiousness led the benchmark CNX Nifty to ends at its highest level this month so far on the National Stock Exchange (NSE) today.
Buying interest in pharma, energy and banking counters helped the market to log modest gains. Investor sentiment was boosted by robust corporate earnings as well as hopes of a rate cut by the RBI at its monetary policy meet next week.
Initial volatility was seen due to selling in banking scrips and the market largely traded in a tight range. But tail-end buying led the Nifty to end at 6,338.95, its highest level in the first month of the New Year, which saw a subdued start for the stockmaket after a good run in 2013.
The 50-share NSE benchmark index had touched its all -time closing high of 6,363.90 on December 9, 2013.
Pharma shares witnessed aggressive buying after Torrent Pharmaceuticals reported strong Q3 earnings. The company yesterday reported 41 per cent rise in consolidated net profit for the quarter ended December 31. Sun Pharma led the gains, rising 2.95 per cent.
Buying was also seen in metal, auto and shares of small and mid-cap companies. However, FMCG shares fell on profit booking.
Meanwhile, foreign institutional investors (FIIs) sold shares worth Rs 43.74 crore yesterday, as per the provisional figures issued by stock exchanges.
The market opened lower on subdued Asian trend and remained choppy during morning trade. After a range-bound trade in afternoon, it ended in the green.
The Nifty traded between a high of 6,349.95 and a low of 6,287.45 before settling at 6,338.95, up 25.15 points, or 0.40 per cent, over the previous close.
Major gainers were BPCL, Tata Steel, Lupin, Hindalco, Bharti Airtel, Cipla, NTPC, Dr Reddy's and ONGC, while, SBIN, Asian Paints, ACC and ITC ended with losses.
Turnover in the cash segment climbed to Rs 10,777.57 crore from Rs 10,564.13 crore yesterday. A total of 5,302.46 lakh shares changed hands in 52,50,848 trades, while market capitalisation stood at Rs 68,41,309 crore.
