The Sensex came close to touching the 60,000-mark. The 30-share gauge closed at 59,831.66, up 524.51 points, or 0.88%. It touched a session high of 59,994.25. The Nifty advanced by a similar level to close at 17,730.75. India's financial markets were closed for regular trading Monday, but traders and investors took cues from strength in global markets.
Rising stocks outnumbered decliners on the BSE by 2,617 to 800, while 152 ended unchanged.
Mumbai: India's two broadest equity gauges advanced about 1% each Monday to their highest levels in more than a month during the special 60-minute Muhurat trading session, marking a strong start to the traditional Hindu new year for the fifth time in a row. Banks and financial stocks were at the vanguard of the rally on the first day of Samvat 2079.
Over the past decade, the benchmarks advanced on eight such occasions.
The Sensex came close to touching the 60,000-mark. The 30-share gauge closed at 59,831.66, up 524.51 points, or 0.88%. It touched a session high of 59,994.25. The Nifty advanced by a similar level to close at 17,730.75.
India's financial markets were closed for regular trading Monday, but traders and investors took cues from strength in global markets.
"Our markets are relatively insulated in terms of macroeconomic and political challenges compared with the rest of the world," said Nilesh Shah, founder, Envision Capital.
"India will continue to outperform the emerging and developed markets over the medium-to-long term. Financials, consumer, technology and manufacturing sectors are four pockets that will drive growth for the Indian economy and markets going forward."
Positive sentiment was visible in the broader markets too. The Mid- and Small-cap indices advanced 0.50 and 0.99%, respectively. The domestic trader community actively participates in the Muhurat trading session, making token transactions with the intent to take home profits.
Making money in this hour of trading is considered auspicious. Many brokers, traders and family members were present at the customary Muhurat trading function held at the BSE's Phiroze Jeejeebhoy Towers.
Barring the Chinese equity markets, which tumbled in reaction to the consolidation of power by President Xi Jinping, key Asian indices ended up 1-2% on Monday.
Key European averages were all trading up more than 1%. The Stoxx 600 was up 1.4% to three-week highs.
"Indian indices rose, led by bank stocks, aided by positive cues from European and US markets and despite the sell-off in the Hong Kong and China markets," said Dhiraj Relli, MD, HDFC Securities. "Investors hope the positive sentiment could get carried into the new Samvat year despite some macro and global headwinds."
Rising stocks outnumbered decliners on the BSE by 2,617 to 800, while 152 ended unchanged.
"Our markets have broken key resistance levels. We expect the Nifty scale to levels of 19,100 by the next Diwali, while the lower limit could be around 16,400 unless some catastrophic event breaks out," said Sudeep Shah, head, technical and derivatives research, SBICAP Securities.
"Sectors like defence, financials, auto will remain at the forefront, while we expect quality mid-cap and small-cap stocks to outperform."
"The Nifty is one of the best performing indices across global markets. Relative strength comparison with Nifty 50 and Dow Jones has reached new heights. The Indian economy has slowed down but it is still healthy and continues to be the fastest growing in the world," Shah said.
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