Markets create new records on earnings surge, liquidity
Markets made fresh records their new home as the Sensex on Monday settled at 32,515 and the Nifty 10,077, riding on tailwinds of strong corporate earnings amid expectations of an interest rate cut by the Reserve Bank.
The rally mirrored strength in most Asian indices.
The 30-share Sensex settled at the new high of 32,514.94, up 205.06 points, or 0.63 per cent. This has breached the previous closing record of 32,383.30 hit on July 27. The gauge had lost 73.42 points in the previous session on Friday.
The 50-issue NSE Nifty hit an all-time high during the day. It settled up 62.60 points, or 0.63 per cent, at a fresh life high of 10,077.10, breaking its previous record of 10,020.65 recorded on July 26.
"Good results from index heavyweights continue to add liquidity while the country's largest PSU bank's interest rate cut decision attracted investors to the banking stocks on expectation of more peers to follow the trend. Moderation in inflation to below RBI's target of 4 per cent heightened the expectation of rate cut during the next monetary policy," said Vinod Nair, Head of Research, Geojit Financial Services.