Stock Market Updates: Gains across sectors pushed the markets higher
Domestic stock markets trimmed initial gains after soaring to new all-time highs on Wednesday amid selling pressure in heavyweight Reliance Industries and select financial shares. Benchmark indices S&P BSE Sensex and NSE Nifty 50 pared gains after registering record highs of 43,708.47 and 12,769.75 respectively, a day after the 30-scrip gauge crossed the 43,000 mark for the first time ever. While gains across most sectors supported the gains, selling pressure in PSU banking shares limited the upside.
The Sensex ended 328.37 points - or 0.76 per cent - higher at 43,606.02 and the Nifty settled at 12,753.70, up 122.60 points - or 0.97 per cent - from its previous close. (Track Sensex, Nifty Here)
(Also Read: Sensex Crosses 43,000 For First Time As Markets Rally On Vaccine Cheer)
Progress in the development of a coronavirus vaccine raised hopes for a global economic recovery, helping domestic airline and hotels stocks that have been hammered by the pandemic.
Reliance Industries shares fell more than 5 per cent, weighing on both benchmark indices.
Auto and pharmaceutical shares jumped, with a handful of strong corporate earnings supporting gains.
The Nifty Auto index climbed as much as 2.1 per cent, led by a rise of 3.5 per cent in shares of Hero MotoCorp. Carmaker Mahindra and Mahindra jumped nearly 3 per cent after it reported a higher quarterly revenue on Tuesday and said it expected strong demand for vehicles until the end of the year.
"The outlook for the (auto) sector is improving continuously and is supported by the festival season and good rural demand," said Vinod Nair, head of research at Geojit Financial Services. "This trend is likely to continue for some time."
Meanwhile, MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.4 per cent as news of a potential COVID-19 vaccine offset worries of rising infections in Europe and the US.
(Also Read: No Big Correction Ahead, Say Analysts As Sensex Scales New Peak)
European share markets started the day on a strong note, with the United Kingdom's FTSE 100 benchmark last seen trading 1.79 per cent higher in early deals.
Investors awaited European Central Bank president Christine Lagarde's comments on the European economic outlook and stimulus prospects in a speech due at 6:30 pm.
