Across the board buying on Tuesday lifted the NSE Nifty above psychological 16,000-mark and the BSE Sensex 53,400.
Benchmark indices recorded fresh all-time highs during the morning trade. It was led by FMCG, IT and Pharma stocks.
Despite mixed global cues, the market opened on a strong note and surged further.
Around noon, the Nifty 50 breached the 16,000 mark for the first time, recording a fresh all-time high of 16,000.70 after opening at 15,951.55.The BSE Sensex, after opening above the 53,000 mark at 53,125.97, also surged further to record a fresh high of 53,402.03.
At 12:03 pm, Nifty 50 was at 15,995.75, up 110.60 points or 0.7 per cent. It recorded an intraday low of 15,914.35.
The BSE Sensex was at 53,374.20, up 423.57 points or 0.80 per cent. It recorded an intraday low of 53,088.35.
According to Choice broking, "The Nifty index set a new benchmark at 15982 levels in the early session."
"After a long consolidation, we have seen further breakouts in today’s trading session and nifty made new highs. If the market breaks 16000 levels on a closing basis, a strong upside move can be seen till 16200-16500 levels. Overall, Nifty 5-months move was approx 500 points, and now there is a possibility of 500 points move in the next 5 days as after a long consolidation we have seen this breakout," it said.
Rahul Sharma, Co- Founder, Equity99 said: "This surge is backed up with strong performance from the industry leaders like HDFC from Banking, TCS, and Infosys from IT pack, big support is coming from FMCG giants like UBL, Britannia, Marico."
From 15,000 to 16,000 levels, Nifty Metals have been top contributor followed by IT, he said, "Nifty Pharma is also supporting the current bullishness as big pharma counters like Sun Pharma, Lupin both are trading very strong today".
Titan, Sun Pharma, HDFC, Bharti Airtel and IndusInd Bank were the top gainers on the Nifty 50 while JSW Steel, Grasim, ONGC, Tata Steel and Hindalco were the top laggards.
According to analysts, corporate results for Q1 FY 2022, barring financials and positive macro data including exports (up by 48 per cent in July) and GST collection (over ₹1 lakh crore) have lifted sentiment for the domestic market. The adjusted IHS Markit India Manufacturing Purchasing Managers' Index (PMI) rose from 48.1 in June to 55.3 in July, pointing to the strongest rate of growth in three months.
Investors are now looking forward to the crucial RBI meet which begins tomorrow.
FMCG, IT and Pharma lead
On the sectoral front, FMCG, IT and pharma led the rally while metals were under pressure. Nifty FMCG was up 1.02 per cent while Nifty IT was up 0.89 per cent. Nifty Pharma was up 1.10 per cent. Meanwhile, Nifty Metal was down 0.75 per cent.
Broader indices
However, Midcap and Smallcap stocks were under pressure. Nifty Midcap 50 was down 0.42 per cent while Nifty Smallcap 50 was trading flat. The S&P BSE Midcap was down 0.06 per cent while the S&P BSE Smallcap was up 0.30 per cent.
The volatility index rose 4.70 per cent to 13.41