October 23, 2021

Markets hit fresh highs as telecom, PSU stocks gain, Sensex near 59K

By Administrator_ India

Capital Sands

The Indian markets hit fresh record highs on Wednesday amid rally a tally in telecom and public sector undertaking stocks, with benchmark Sensex’s notching up its 41st record close for the year.

The benchmark Sensex rose 476 points, or 0.8 percent, to end the session at 58,723. The Nifty, on the other hand, rose 139 points and ended the session at 17,519, a gain of 0.8 percent. Both the indices surpassed their previous record close made on September 9.

Shares of Bharti Airtel rallied 4.5 percent, while index heavyweight Reliance Industries rose 0.5 percent after the government’s relief package for the telecom sector was seen benefiting them.

PSU stocks were among other major gainers with NTPC rally 7.2 percent—most among Sensex components. Coal India rose 4.6 percent and ONGC too gained close to 4 percent.

Most Asian and European markets traded negative.

The US inflation data on Tuesday showed that consumer prices rose 0.3 percent in August from July, a fall from the previous month-on-month rise. Investors cheered the data as it reduced the prospects of the US Federal Reserve raising the interest rates. The dollar weakened against major peers as investors

Global investors seem wary of the impact of the delta virus variant and rising costs on economic reopening, as well as China’s crackdown on private industries.

Asian stocks fell amidst weak Chinese economic data in August due to stringent virus controls and news reports that China’s Evergrande group will not be able to make interest payments on Monday. Investors worry that a debt restructuring could lead to further volatility in markets.

 

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