Market wrap: Third straight day of gains for Sensex; Nifty tops 17,000

Top headlines
 

• Third straight day of gains for Sensex; Nifty tops 17k
• MedPlus Health sees bumper debut, lists at 31% premium
• Infosys hits new all-time high, stock ends higher for third session
• L&T gains 7% in December, beats markets on steady order inflows
• Analysts bullish on IndiGo and SpiceJet despite travel curbs due to Omicron spread
• CMS Info Systems IPO subscribed nearly 2 times on last day

 
Key benchmark indices rallied for a third straight trading session with investors hoping for a possible year-end rally despite the Omicron threat.
 
The BSE benchmark index opened with a positive gap of 320 points, and managed to survive with notable gains throughout the day despite interim bouts of profit-taking. The index touched an intra-day high of 57,491, but pared some gains to close at 57,315, up 385 points.
 
The NSE Nifty, meanwhile, hit a high of 17,119, before finishing 118 points higher at 17,073.
 
PowerGrid was the biggest gainer in the Sensex-30 pack, rising over 3 per cent. ITC, NTPC, Bajaj twins, SBI, Tech Mahindra, Axis Bank, Titan, Wipro, HDFC, Mahindra & Mahindra and TCS were the other major gainers, all rising between 1% and 2.5%.
 
On the downside, Bharti Airtel, UltraTech Cement, Sun Pharma, Maruti and ICICI Bank were some of the marginal losers.
 
The broader markets also ended with smart gains. The BSE Midcap index advanced 1%, while the Smallcap index added 0.7 per cent. The overall breadth was also positive, with advancing shares outnumbering declining stocks in the ratio of almost 2:1 on the BSE.
 
Among sectoral indices, the BSE Realty index surged 2.2 per cent. The FMCG, IT, Consumer Durables, Oil & Gas and Power indices were the other major gainers, up over one per cent each. The Telecom and Metals indices were down 0.8% and 0.3%, respectively.
 
Individually, shares of airline company IndiGo closed 2.65% higher on the BSE after Elara Capital upgraded its rating on the stock. Analysts are bullish on the company and the likes of it such as Spicejet, despite the threat of the Omicron variant's spread and travel curbs. 
 
That apart, the shares of IT major Infosys hit a record high of Rs 1,861.65, surpassing its previous high of October 20, 2021, on the BSE. The stock ended 1.8% higher today, having risen 3.4% in the past three sessions.
 
That apart, Larsen & Toubro has outperformed the market so far in December, gaining 7 per cent on the back of strong order inflows. By comparison, the S&P BSE Sensex and Nifty50 were up 0.27% each during the same period. It closed nearly 0.6% up today. 
 
In the pharma space, drug retailer MedPlus made a strong debut on the bourses. It got listed at a 31% premium over its issue price of Rs 796 on the NSE. The stock was listed at Rs 1,040 rupees, above what the market had expected. The stock closed 41% higher over the issue price on the BSE.
 
Lastly, in the primary market, the initial public offering of CMS Info Systems picked up pace on the final day and was fully subscribed at 1.94 times till 4:20 pm. The retail portion was subscribed 2.1 times, while non-institutional investor and qualified buyer portions were subscribed 1.45 and 1.98 times, respectively. 
 
As regards tomorrow, markets may remain range-bound and track global cues for further direction. According to Siddhartha Khemka, head of retail research at Motilal Oswal Financial Services, the relief rally might continue for some more time. FII selling has reduced sharply in the past few days amid a holiday season. However, volatility cannot be ruled out on account of potential risks from the Omicron variant and fragile global cues. He advises long-term investors to make the most of this volatility in the market and add to their portfolios gradually at lower levels.