Sensex soars 188 points, Nifty at fresh closing peak

Mumbai: The prospects of a gradual approach to US rate hike gave markets more reason to rejoice as the Sensex on Thursday added 188 points to close at a 2-year high of 29,586 and the Nifty hit a new peak of 9,154, buoyed by strong capital flows.

The NSE index rose to a record 9,158.45 (intra-day) before ending the day at a new closing high of 9,153.70, up 68.90 points, or 0.76 per cent, breaching its previous record of 9,087 on March 14.

The 30-share BSE index settled higher by 187.74 points, or 0.64 per cent, at 29,585.85. This is the highest closing since January 29, 2015 when it closed at 29,681.77.

The gauge had shed 44.52 points in the previous session.

Also Read | Rupee climbs 5 paise against dollar to 64.73

Investors continued to soak in BJP's superlative show in UP and Uttarakhand, which is seen as giving an impetus to the government's reforms drive.

Continued foreign inflows have sparked a rally in the rupee, which hit an over 16-month high of 65.22 (intra-day) against the dollar, accelerating buying activity further.

The buoyancy reflects a firming trend in Asia and Europe, tracking overnight gains in the US after the Federal Reserve went for a rate increase.

Buying activity was so strong that all sectoral indices, led by metal and infrastructure, ended in the green.

Also Read | Rupee slips 10 paise against US dollar in early trade

Second-tier stocks attracted heavy buying interest from retail investors and notched up handsome gains. The BSE midcap and smallcap indices closed up 1.55 per cent and 1.07 per cent, respectively.

Hefty buying by foreign institutional investors, the main market mover, was seen across the board. FIIs bought shares worth Rs 1,141.13 crore yesterday, as per provisional data.

The metal index went up 2.84 per cent. Power, consumer durables, infrastructure and capital goods too advanced. (PTI)

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