Markets post 3rd weekly gains on macro cheer, earnings optimism

The broader NSE Nifty gained 22 points to 10,480.60

Benchmarks overcame a bout of late-session volatility to finish at fresh six-week highs today as investors looked forward to the earnings season amid better-than-expected macroeconomic data.

This was the seventh straight session of gains for the markets -- their longest winning streak since November last year.

The 30-share BSE Sensex rose 91.52 points to end at 34,192.65, while the broader NSE Nifty gained 22 points to 10,480.60.

Investor sentiment was upbeat on positive macro data announced after trading hours yesterday and optimism ahead of earnings by Infosys coupled with a firming trend at other Asian bourses, brokers said.

The BSE Sensex, after shuttling between 34,313.14 and 34,103.53, finally closed at 34,192.65, up 91.52 points, or 0.27 per cent.

This was its highest closing since February 27 when it had ended at 34,346.39.

The index has now gained 1,173.58 points in the past seven sessions.

On similar lines, the NSE Nifty rose 21.95 points, or 0.21 per cent to finish at 10,480.60 after moving between 10,519.90 and 10,451.45.

Both the key indices finished with gains for the third week in a row. The BSE Sensex recorded a significant rise of 565.68 points, or 1.68 per cent, while the NSE Nifty advanced 149 points, or 1.44 per cent, this week.

The index of industrial production (IIP) grew by a healthy 7.1 per cent in February, driven largely by the robust performance of the manufacturing sector coupled with higher offtake of capital goods and consumer durables, while the key retail inflation slipped to a five-month low of 4.28 per cent in March, official data showed on Thursday.

"Another week with gains... on the back of positive global cues and ease in risk aversion amongst investors as trade war clouds shun away. Bank buying was seen across the board.

"IT sector performed well with a breakout of consolidation and leading the rally along with private banks and metal.

“Auto sector saw some muted efforts while PSU Bank Index reversed after two weeks of consecutive gains as selling pressure was clearly visible in them," said Mustafa Nadeem, CEO, Epic Research.

Meanwhile, foreign portfolio investors (FPIs) bought shares worth Rs 368.90 crore on net basis, while domestic institutional investors (DIIs) sold equities to the tune of Rs 615.81 crore on Thursday, provisional data showed.

Adani Ports emerged as the best performer among Sensex constituents by climbing 2.66 per cent, followed by Wipro at 2.28 per cent.

Infosys ended higher by 0.58 per cent as investors were seen accumulating the stock ahead of its earnings.

Other big gainers were Kotak Bank 1.69 per cent, Coal India 1.44 per cent, Dr Reddy's 1.37 per cent, Bajaj Auto 1.12 per cent, NTPC 1.03 per cent, IndusInd Bank 0.70 per cent, Power Grid 0.61 per cent, ONGC 0.61 per cent, ICICI Bank 0.61 per cent, L&T 0.48 per cent, TCS 0.44 per cent, HDFC Ltd 0.42 per cent and HDFC Bank 0.09 per cent.

Reliance Industries rose 1.22 per cent after the company said it has entered into agreements to acquire close to 73 per cent stake in education technology provider Indiavidual Learning Private Ltd (Embibe) and will investor $180 million into the company over the next three years.

In sectoral terms, the metal index spurted 1 per cent, followed by healthcare 0.56 per cent, IT 0.50 per cent, realty 0.44 per cent, power 0.34 per cent, teck 0.32 per cent, infrastructure 0.21 per cent, consumer durables 0.14 per cent, bankex 0.11 per cent and auto 0.05 per cent.

Capital goods, FMCG, oil and gas and PSU indices ended in the red.

A firm trend prevailed at the broader markets, with the mid-cap index rising 0.46 per cent and small-cap gaining 0.26 per cent as investors raised their bets.

Globally, most Asian markets ended in the green and European markets were trading higher in their early deals, following a higher closing at Wall Street on Thursday.

Japan's Nikkei rose 0.55 per cent, Singapore inched up 0.94 per cent, while Shanghai Composite Index declined 0.66 per cent. Hong Kong's Hang Seng shed 0.07 per cent.

In the Eurozone, Frankfurt's DAX gained 0.47 per cent and Paris CAC rose 0.22 per cent. London's FTSE too was up 0.01 per cent.