Bulls shrug off Korea worries; Sensex closes above 32k after a month

On Tuesday, the Sensex rose 276 points, or 0.87%, to close at 32,158.66. NSEBSETata MotorsLoading data…

    ADD TO PORTFOLIO

    ADD TO WATCHLIST

    SHARE YOUR OULOOK

    EXPAND

    ChartsValuation & Peer ComparisonCommunity BuzzPEER COMPANIESSun PharmaLoading data…

      ADD TO PORTFOLIO

      ADD TO WATCHLIST

      SHARE YOUR OULOOK

      EXPAND

      ChartsValuation & Peer ComparisonCommunity BuzzPEER COMPANIESHULLoading data…

        ADD TO PORTFOLIO

        ADD TO WATCHLIST

        SHARE YOUR OULOOK

        EXPAND

        ChartsValuation & Peer ComparisonCommunity BuzzPEER COMPANIES

        MUMBAI: The stock market rose for the fourth straight day on Tuesday as easing tensions over North Korea boosted risk appetite temporarily. The Sensex closed above 32,000 for the first time in over a month and the Nifty ended a few points short of 10,100 on Tuesday, mirroring the upbeat US markets the previous day, thanks to the uninterrupted purchases from domestic institutions that helped soak up the foreign selling. Fund managers, however, warned against writing off geopolitical worries, which could send the market into a tizzy once again.

        On Tuesday, the Sensex rose 276 points, or 0.87%, to close at 32,158.66. The last time it traded above the 32,000 mark was on August 8. Nifty gained 87 points, or 0.87%, to close at 10,093, firmly staying above the 10,000 mark that it had recaptured on Monday.

        The BSE’s mid and small-cap indices rose to all-time highs on Tuesday, for the second consecutive day. The Nifty Pharma rose 2.18% to be the top sector gainer. Tata Steel led index gainers, rising 3.3% on news Thyssenkrupp may soon merge its European steel business with the company. Sun Pharma and Tata Motors gained roughly 3.2%. HUL advanced 2.3%. The Sensex is 1.3% away from its all-time high of 32,575 while the Nifty is about 0.2% from its record high of 10,114. Both indices reached the above highs on August 1.



        «Steady gold prices seem to be reflecting geopolitical risk is still on the horizon but investors in other asset classes seem to be unperturbed by it,» said Navneet Munot, chief investment officer, SBI Funds Management. The Volatility Index (VIX) dropped 4.9% to 11.75, signalling traders were less worried about the near-term market prospects.


        US, ASIAN MARKETS


        US markets rose on Monday with the S&P 500 index rallying 1% to record levels amid signs of easing tensions between US and North Korea though the United Nations slapped further sanctions on Pyongyang. On Tuesday, among Asian markets, the Japanese Nikkei rose 1.18% and South Korea’s benchmark Kospi gained 0.27%. The Shanghai Composite closed 0.11% higher while Hong Kong’s Hang Seng edged marginally higher at 0.04%.

        «Nothing untoward was mentioned in the UN resolution over North Korea and the intent seemed to be to pacify the tensions. Investors are possibly taking positive cues from the same,» said Rikesh Parikh, vice-president of equities at Motilal Oswal Financial Services On Tuesday, gold prices steadied after a 1.4% fall on Monday as investors flocked to riskier assets, with geopolitical tensions taking a backseat.

        Worries about a nuclear conflict between US and North Korea had kept global financial markets on the edge in recent weeks. On Tuesday, foreign portfolio investors net sold local shares worth Rs 1,231crore. Domestic institutions were net buyers of Rs 1,313 crore on Tuesday, according to provisional data. Foreign investors have offloaded shares worth Rs 5,182 crore so far in September. Domestic investors have purchased equities worth Rs 4,445.45 crore so far this month, providing stability to the market amid the foreign selloff.

        Добавить комментарий