Mumbai: Market benchmarks Sensex on Thursday, January 16, 2020 scaled up to the 42,000 mark while NSE Nifty crossed the 12000 mark, ending at 12,389 points. Markets today hit a record high after taking positive cues from global equities after US and China signed an initial trade deal. Both Sensex and Nifty scaled up by 0.1 per cent closed at 41,933/12,354. Every sectoral indices including media, pharma and real estate remained green except metals, which went down by 1.3 per cent. With such progress, the broader markets outperformed benchmarks as Nifty Midcap 100 and Nifty Smallcap 100 grew by 0.8 per cent and 0.5 per cent.
Commenting on the market’s positive performance, Ajit Mishra, VP, Research, Religare Booking says, “ we are seeing rotational buying on the sectoral front, which is helping the index to inch gradually higher. However, the actual gains are in the broader markets where we have seen a noticeable recovery in the last two months or so. We believe domestic factors such as . earnings and budget expectations will continue to dictate market trends in the near future so keep a close eye on announcements for cues.”
During intra-day trading, profit booking was witnessed on the back of the news that tariff on China would continue till the US Presidential elections were over. “Market sentiments were positive as China said that it would boost spending on US products in exchange for the rolling back of some tariffs under an initial trade deal signed by them. Thus, we are witnessing sector-specific and stock-specific action as Q3 earnings’ season progresses and as expectations run up to the budget build-up for certain sectors,” says Siddhartha Khemka, Head, Retail Research, Motilal Oswal Financial Services.