The S&P BSE Sensex opened about 100 points higher on Friday while NSE’s Nifty50 was comfortably above the 8,600 level. In overnight trade, US markets had rallied to record highs. So, the stage was pretty much set for a good session on Friday.
As soon as SBI delivered a set of Street-beating numbers with a 31.7 per cent drop in June quarter net profit, the Sensex reclaimed the 28,000 mark, before ending the day at 28,152.40, up 292.80 points or 1.05 per cent. The Nifty50 topped the 8,650 mark before closing at 8,672.15, up 80 points or 0.93 per cent.
The BSE Bankex was the best performing index in the sectoral landscape, led by gains in SBI (up 7.29 per cent), Punjab National Bank (up 5.42 per cent) and Axis Bank (up 3.85 per cent).
Auto stocks surged after the Supreme Court lifted a ban on the registration of diesel cars in the NCR region. The BSE auto index climbed xx per cent led by gains in the shares of Tata Motors and M&M.
SBI was the top Sensex gainer, with a 7.16 per cent jump. Axis Bank (up 3.85 per cent), Tata Motors (up 2.48 per cent), Power Grid Corporation (up 2.36 per cent) and HDFC (up 2.19 per cent) were among the other top gainers.
Cipla closed 1.77 per cent lower ahead of its quarterly results scheduled for release later in the day. Infosys (down 1.40 per cent), Sun Pharma (down 1.34 per cent), Asian Paints (down 0.57 per cent), and Hindustan Unilever (down 0.28 per cent) were the other losers. Shares of Sun Pharma fell after the drugmaker reported a four-fold jump in June quarter profit at Rs 2,033.71 crore.
Experts believe the market lacks triggers and may be heading for a fall. “There has been quite a healthy traction in the domestic economy and that will help to drive earnings growth going forward. But there are no major domestic triggers in the near term. Therefore, we could see profit booking from time to time, but these would actually give you a good opportunity to accumulate quality stocks,” said Nitasha Shankar, Head of Research, Yes Securities.
Among specific stocks, Dhanlaxmi Bank gained 4.42 per cent after reporting Q1 profit after tax (PAT) at Rs 5.7 crore against a Rs 22.70 crore loss on a year-on-year (YoY) basis.
Shares of Kesoram Industries fell 4.74 per cent after its first quarter PAT slipped 94.1 per cent on a YoY basis.
AB group stocks tanked miserably after reports of a merger between Aditya Birla Nuvo and Grasim Industries. The two stocks lost xx per cent and xx per cent, respectively.
Hindalco reported a five-fold jump in June quarter profit at Rs 294 crore. The stock closed 2.78 per cent higher. Prime Focus surged 4.27 per cent after it reported June quarter PAT at Rs 106.20 crore against a Rs 203 crore loss YoY.
Elsewhere in Asia, China’s Shanghai Composite gained 1.60 per cent, Japan’s Nikkei 1.10 per cent and Hong Kong’s Hang Seng index 0.83 per cent.
At the time of writing of this report, London’s FTSE100 was trading 0.10 per cent higher while France’s CAC40 and Germany’s DAX were down 0.13 per cent and 0.41 per cent, respectively.
All three major U.S. stock indexes closed at record highs on Thursday for the first time since 1999. It was the first time since Dec. 31, 1999, that the S&P 500, Dow Jones industrial average and Nasdaq had closed at record highs on the same day, said a media report.