Positive domestic macro-economic data, coupled with firm global cues and upbeat quarterly automobile sales results lifted the Indian equities markets on Wednesday.The key indices closed with gains of more than half a per cent each, despite a weak rupee and outflow of foreign funds capping gains.India's gross domestic product (GDP) for the third quarter of 2016-17 fiscal ended December, which recorded a growth of seven per cent, and expansion in the manufacturing Purchasing Managers' Index (PMI) to 50.7 in February, kept investors' sentiments buoyed.The wider 51-scrip Nifty of the National Stock Exchange (NSE) rose by 66.20 points or 0.75 per cent to 8,945.80 points.The barometer 30-scrip sensitive index (Sensex) of the BSE, which opened at 28,849.04 points, closed at 28,984.49 points -- up 241.17 points or 0.84 per cent from the previous close at 28,743.32 points.The Sensex touched a high of 29,029.17 points and a low of 28,824.17 points during the intra-day trade.
The BSE market breadth was tilted in favour of the bulls -- with 1,662 advances and 1,189 declines.In terms of the broader markets, the BSE mid-cap rose by 0.13 per cent and the small-cap index was up by 0.45 per cent.On Tuesday, the benchmark indices ended lower as caution ahead of the release of major domestic macro-economic data points, along with heavy selling pressure, capped gains.The NSE Nifty edged down by 17.10 points or 0.19 per cent to close at 8,879.60 points, and the BSE Sensex fell by 69.56 points or 0.24 per cent to 28,743.32 points."Markets surged higher on Wednesday after two sessions of losses," Deepak Jasani, Head - Retail Research, HDFC Securities, told IANS."The gains came on the back of President Trump taking a measured tone in his keenly awaited speech before the US Congress on Tuesday and positive global cues as major Asian markets ended on a positive note, barring the Taiwan and Jakarta indices. European indices like FTSE 100, DAX and CAC 40 too traded higher."Besides, market observers pointed out that key domestic indices have either reached their important psychological levels or are close to do so."The BSE Sensex crossed the 29,000 mark, while the NSE Nifty is within touching distance of the 9,000 mark. It has been a one-way ride for the indices after testing the November demonetisation lows again in December," Vijay Singhania, founder and Director of brokerage firm Trade Smart Online, told IANS.
"Having jumped by 12.6 per cent since the lows made on December 26, 2016, markets have had a healthy run for the start of the year. While all eyes are fixed on the benchmark indices, smaller companies have had a much stronger run."Singhania noted that BSE small cap index has increased by 19.16 per cent since December 26, 2016, while BSE mid-cap index moved by 17.5 per cent.However, gains were capped due to a weak rupee and outflow of foreign funds.The Indian rupee depreciated by 13 paise to 66.83 against a US dollar from its previous close of 66.69-70 to a greenback.In terms of investments, the provisional data with exchanges showed that foreign institutional investors (FIIs) sold stocks worth Rs 198.27 crore, whereas the domestic institutional investors (DIIs) bought scrip worth Rs 254.21 crore.Commenting on the sector-specific movement, Dhruv Desai, Director and Chief Operating Officer of Tradebulls, said: "IT stocks traded with firm sentiments, while banking, pharma, auto, media-entertainment and oil-gas stocks traded with sideways to firm sentiments.""Textile and aviation sector stocks traded with firm sentiments, while cement and power sector stocks traded with bearish sentiments due to selling pressure."Sector-wise, the S&P BSE metal index surged by 226.71 points, followed by the banking index, which rose by 224.31 points, and the healthcare index, which edged up by 133.82 points.On the other hand, the S&P BSE oil and gas index plunged by 123.42 points, the consumer durables index slipped by 25.60 points, and the energy index fell by 14.90 points.Major Sensex gainers on Wednesday were: Tata Steel, up 3.66 per cent at Rs 500.30; Mahindra and Mahindra (M&M), up 3.13 per cent at Rs 1,347.80; Dr Reddy's Lab, up 2.56 per cent at Rs 2,927.10; ITC, up 2.46 per cent at Rs 268.60; and HDFC, up 2.32 per cent at Rs 1,400.60.Major Sensex losers were: Gail, down 1.93 per cent at Rs 507.10; NTPC, down 1.87 per cent at Rs 160.05; Tata Motors, down 1.55 per cent at Rs 449.10; Bharti Airtel, down 0.70 per cent at Rs 362.60; and Reliance Industries, down 0.33 per cent at Rs 1,234.15.