Equity benchmark Sensex jumped over 250 points in early trade on Monday tracking gains in index majors ICICI Bank, HDFC and L&T amid persistent foreign fund inflows and largely positive trend in global markets.
After touching its record intra-day high of 46,373.34 in the opening session, the 30-share BSE index was trading 235.41 points or 0.51 per cent higher at 46,334.42.
Similarly, the broader NSE Nifty rose 69.70 points or 0.52 per cent to 13,583.55. It hit a high of 13,588.40 in early trade.
ONGC was the top gainer in the Sensex pack, rallying around 3 per cent, followed by Tata Steel, L&T, Sun Pharma, M&M, ICICI Bank and NTPC.
On the other hand, Tech Mahindra, HDFC Bank and Reliance Industries were among the laggards.
In the previous session, Sensex ended 139.13 points or 0.30 per cent higher at 46,099.01, while Nifty rose 35.55 points or 0.26 per cent to 13,513.85.
Foreign portfolio investors (FPIs) were net buyers in the capital market as they purchased shares worth Rs 4,195.43 crore on a net basis on Friday, according to provisional exchange data.
Domestic equities look to be good at the moment. Positive data flows along with persistent FPI flows have been quite supportive for the markets, said Binod Modi Head-Strategy at Reliance Securities.
“Further, better than expected IIP data for October 2020 along with a sharp jump in electricity suggests that industrial activities are back on growth track, which bodes well for equities,” he added.
On the global front, US equities ended lower last week as concerns over slow progress on fiscal stimulus despite favourable developments on the vaccination process weighed on investors’ sentiments.
“This week is likely to be quite crucial for US equities as Fed policy meeting outcomes along with the stance of Congress about fiscal stimulus are likely to determine the Santa rally for the markets. Additionally, clarity over Brexit is expected to emerge by weekend also,” he noted.
Elsewhere in Asia, bourses in Shanghai, Seoul and Tokyo were trading on a positive note in mid-session deals, while Hong Kong was in the red.
Meanwhile, the global oil benchmark Brent crude futures were trading 0.52 per cent higher at USD 50.23 per barrel.