Mumbai: Shrugging of concerns regarding the impact of currency weakness, markets surged higher tracking gains in global stocks with the Nifty posting its highest ever close after China and the US agreed to hold their first trade discussion since June next week.
The continued recovery in Turkish Lira from its historic low hit earlier this week also helped boost investors sentiments towards emerging market assets classes.
The Nifty closed at 11,470.75, gaining 85.70 points or 0.75 per cent while the Sensex soared 284.32 points or 0.75 per cent to end at 37,947.88.
“Indian markets are largely ignoring the rhetoric of global trade wars and rupee depreciation. Dissecting the earnings for the quarter just gone by, there was a clear evidence in terms of pickup in activity and the management commentary of a number of corporates were also positive. Quality stocks are seeing more buying interest on every smaller fall, in turn making those more expensive and taking markets to new highs,” said Devang Mehta, head, equity advisory, Centrum Wealth Management.
While the markets are expected to witness bouts of volatility going ahead, Mr Mehta said investors should use those opportunities create and realign their portfolios.
According to the provisional data released by the stock exchanges, FPIs turned net buyers of equities worth Rs 147.31 crore. The broader markets too remained healthy with 1,629 stocks advancing.
“Indian markets have been clearly bucking the global trend and we are not surprised with this move. Now, it’s a matter of time, we would be surpassing the recent swing high of 10,495.20 for the Nifty quite soon. Post this, yet another leg would unfold for the index and hence, it’s advisable to stay with flow rather than becoming sceptical of the move,” said Sameet Chavan, derivative analyst at Angel Broking.
