Benchmarks scale fresh peaks; IT, metal, pharma stocks shine
Mumbai: The BSE Sensex defied gravity for the eighth straight session to finish at yet another record high on Wednesday as positive global cues and robust foreign fund inflows fuelled risk-on sentiment.
The government approving a Rs 2 lakh crore production-linked incentive package for various sectors also buoyed investors, traders said.
After touching its all-time peak of 43,708.47 during a see-saw session, the 30-share BSE index settled 316.02 points or 0.73 percent higher at 43,593.67.
Similarly, the broader NSE Nifty vaulted 118.05 points or 0.93 percent to close at a record 12,749.15. Intra-day, it touched its all-time high of 12,769.75.
Both the key indices scaled record highs for the third session on the trot.
Tata Steel was the top gainer among the Sensex constituents, surging 7.39 percent, followed by Axis Bank, Bajaj Finserv, ITC, Sun Pharma, Infosys, L&T, and Bharti Airtel.
Kotak Mahindra Bank spurted 3.12 percent after MSCI said it will add the private sector lender and 11 other domestic firms to the MSCI India Index.
On the other hand, IndusInd Bank, Reliance Industries, Titan, Asian Paints, HUL, and HDFC Bank closed in the red, tumbling up to 5.62 percent.
The Cabinet on Wednesday approved offering Rs 2 lakh crore worth of production-linked incentives to 10 more sectors to boost domestic manufacturing.
The incentives will be offered for sectors such as white goods manufacturing, pharmaceutical, specialized steel, auto, telecom, textile, food products, solar photovoltaic, and cell battery.
Global markets remained upbeat on continued optimism over Pfizer's COVID-19 vaccine news.
"Domestic markets remained upbeat and extended gain for the eighth consecutive day as positive sentiments among investors following clarity of coronavirus vaccine by BioNTech-Pfizer and strong 2Q FY21 corporate earnings persist. While the market witnessed some amount of volatility today led by profit booking in some of the heavyweights, a sharp rebound in pharma, metals, IT, and auto stocks supported the market rally.
"As the market has already witnessed a sharp run up and valuations appear to be quite stretched at the current level, profit-booking at these levels cannot be ruled out and therefore investors should be cautious at these levels. We continue to believe that a strong earnings rebound still looks to be difficult given ambiguity over CAPEX cycle recovery," said Arjun Yash Mahajan Head Institutional Business at Reliance Securities.
BSE metal, healthcare, IT, tech, utilities, power, and auto indices rose as much as 3.51 percent, while energy and consumer durables finished in the red.
Broader BSE midcap and smallcap indices spurted up to 0.77 percent.
Elsewhere in Asia, bourses in Shanghai and Hong Kong ended in the red, while Seoul and Tokyo closed with gains.
Stock exchanges in Europe were trading on a positive note in early deals.
Meanwhile, international oil benchmark Brent crude was trading 3.12 percent higher at USD 44.98 per barrel.
Foreign institutional investors remained net buyers in the capital markets, buying shares worth Rs 5,627.32 crore on Tuesday, according to provisional exchange data.
The rupee declined 18 paise to close at 74.36 against the US dollar on Wednesday, tracking strengthening American currency in the overseas market and higher crude prices.
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London, Nov 22: A bomb disposal squad deployed as a “precaution” to the South Terminal of Gatwick Airport concluded an investigation into a "security incident" on Friday after making a “suspect package” safe.
The South Terminal of Gatwick Airport, the UK's second busiest airport after Heathrow, which was briefly shut owing to the incident reopened following the incident.
The Gatwick is around 45 km south of London.
Two people detained during the enquiries have since been allowed to continue their journey as the airport was opened.
“Police have concluded their investigation into a report of a suspect package at Gatwick Airport. Officers from the EOD (Explosive Ordnance Disposal) team made the package safe, and the airport has been handed back to its operator,” Sussex Police said in an updated statement.
“Two people detained while enquiries were ongoing have subsequently been allowed to continue their journeys. There will remain an increased police presence in the area to assist with passengers accessing the South Terminal for onward travel,” the statement added.
Earlier on Friday, the incident caused severe disruption at the busy airport’s South Terminal, while the North Terminal of Gatwick Airport remained unaffected.
“Police were called to the South Terminal at Gatwick Airport at 8.20 am on Friday (November 22) following the discovery of a suspected prohibited item in luggage,” a Sussex Police statement said.
“To ensure the safety of the public, staff and other airport users, a security cordon has been put in place whilst the matter is dealt with. As a precaution, an EOD (Explosive Ordnance Disposal) team is being deployed to the airport. This is causing significant disruption and some roads around the South Terminal have been closed. We’d advise the public to avoid the area where possible,” it said.
Footage on social media taken outside the airport showed crowds of frustrated travellers being moved away from the terminal building.
Gatwick said it was working hard to resolve the issue.
“A large part of the South Terminal has been evacuated as a precaution while we continue to investigate a security incident," the airport said in a social media post.
“Passengers will not be able to enter the South Terminal while this is ongoing. The safety and security of our passengers and staff remain our top priority. We are working hard to resolve the issue as quickly as possible.”
Train and bus services that serve the airport were also impacted while the police carried out their inquiries.
In an unrelated incident in south London on Friday morning, the US Embassy area in Nine Elms by the River Thames was the scene of a controlled explosion by Scotland Yard dealing with what they believe may have been a “hoax device”.
“We can confirm the 'loud bang' reported in the area a short time ago was a controlled explosion carried out by officers,” the Metropolitan Police said in a post on X.
“Initial indications are that the item was a hoax device. An investigation will now follow. Some cordons will remain in place for the time being but the majority of the police response will now be stood down,” it added.
