Mumbai: Stocks: Both the benchmark indices, Sensex and Nifty surged to their historic intra-day peaks of 27,225.85 and Nifty 8,141.90 during the week on aggressive buying on strong foreign capital inflows on the back of robust economic growth, extending gains for the fourth straight week.
The Sensex rallied three out of five trading sessions of the week as in last two sessions it met with profit-booking.
A host of positive developments on domestic as well as global fronts helped the market go on winning spree.
The sentiment turned bullish as capital inflows picked up after economic growth improved to two-and-a-half year high of 5.7 percent in the April-June quarter, brokers said.
FPIs/FIIs invested Rs 4,813.38 crore during the week as per Sebi's record including the provisional figure of September 5.
The market also got a boost after Prime Minister Narendra Modi Monday promised to remove roadblocks to foreign investment and said that economy was out of difficult situation and more reforms were in the offing.
After better-than-expected GDP data, the current account deficit (CAD) narrowed sharply to 1.7 percent of GDP in the April-June quarter against 4.8 percent of GDP in Q1 FY14 mainly due to decline in gold imports and rise in exports, goving boost to current rally.
Japan Monday announced doubling of its private and public investment in India to about USD 34 billion over the next five years also has a positive sentimental impact on local bourses.
Sensex opened higher at 26,733.18 and shot up further to an all-time intra-day high of 27,225.85 before concluding the week at 27,026.70, showing a gain of 388.01 points or 1.46 percent. In straight four week, it has jumped 1,697.56 points or 6.70 percent.
The NSE 50-share Nifty also rose by 132.50 points or 1.67 percent to end at 8,086.85 after touching an historic high of 8,141.90. In four weeks in a row, it has zoomed by 518.30 points, or 6.85 percent.
Rise in foreign direct investment (FDI) in Q1 June which comfort the balance of payment (BoP) position and hopes of more foreign funds inflow after Prime Minister's Japan's visit too aided the market up-move, brokers said.
Optimism that the Narendra Modi-led government would announce more reforms that could bring economy back on track, they added.
Hard selling India as a manufacturing destination, Prime Minister Narendra Modi invited Japanese investments, saying the era of "red tape" has been replaced by "red carpet" with ease of doing business and liberalisation.
Buying activity in small and midcap also gathered momentum, with the BSE smallcap rising by 3.53 percent and midcap index by 3.98 percent, outperforming Sensex.
On Friday, the European Central Bank (ECB) surprisingly cut its main policy rates and also announced additional measures to stimulate the deteriorating economy.
Global markets showed some positive signs as tensions within Russia and Ukraine seemed to ease as they agreed on a cease-fire in eastern Ukraine, sending lower brent crude prices to 16-month low near USD 100 a barrel on Wednesday.
Buying was seen mainly across-the-board as 11 of 12 sectoral indices closed in the green between 1.62 percent and 5.22 percent with consumer durable, capital goods, IT, HC, Oil&Gas, Metal, Realty and Power, taking the lead.
Pharmaceuticals major, Cipla was the second top gainer from Sensex pack after Bharti Airtel (+8.71 percent) with a rise of 8.21 percent as the company launched a generic drug for asthma and chronic obstructive pulmonary disease in Germany and Sweden.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said, "The Indian equity markets achieved new records in the week, reacting positively on the GDP data which was higher than expected.
"There was some profit booking observed on the last two trading days. FII's, who have been the drivers of Indian Markets, injected over USD 739 mln on the first four days of last week, as per Sebi data."
"The Economic Calendar would be active in the coming week for the Indian Economy as we have two very important data, CPI Data and IIP data, would be announced and are hoped to improve than the previous release so this would certainly boost Indian Markets. The technical indicators are suggesting the positive movement continuing for the markets," he added.
Twenty-two scrips out of the 30-share sensex ended higher while remaining finished lower. Other major gainers were Hero MotoCo 6.14 percent, L&T 5.39 percent, Axis Bank 4.64 percent, Coal India 4.17 percent, Maruti Suzuki 3.85 percent, Infosys 3.79 percent, NTPC 3.67 percent Bajaj Auto 3.34 percent, Wipro 2.93 percent, TCS 2.87 percent, RIL 2.60 percent, SBI 2.23 percent, GAIL India 1.94 percent, ONGC 1.69 percent, SSLT 1.41 percent, Tata Power 1.55 percent and SSLT 1.41 percent.
However, BHEL fell by 7.12 percent, Tata Motors 3.44 percent, HDFC 1.53 percent, Hindalco 1.38 percent, ITC 1.37 percent and HUL 1.01 percent.
Among the S&P BSE sectoral indices, CD rose by 5.22 percent, Teck 3.54 percent, CG 3.40 percent, IT 3.16 percent, HC 3.02 percent, Oil&gas 2.43 percent, Metal 2.30 percent, Realty 2.20 percent and Power 2.06 percent.
Small-cap and Mid-cap indices rose by 3.53 percent and 3.98 percent respectively.
The total tunrover at BSE and NSE rose to Rs 18,482.89 crore and Rs 86,245.43 crore respectively from Rs 11,629.67 crore and Rs 64,060.11 crore last week.
