Sensex, Nifty inch towards record high levels on broad based gains

Indian shares advanced on Friday, supported by broad gains across sectors, with benchmarks nearing record highs, after economic data from the United States boosted bets that the Federal Reserve may be less hawkish than expected.

account Nifty 50 index It was up 0.34% at 18,752.55 as of 10:07 AM IST, while the benchmark S&P BSE Sensex It rose 0.36%, to 63,142.60.

12 out of 13 major sector indices rose. Broader indices extended gains, with the medium-cap index jumping to a new record high and the small-cap index hitting 52-week highs.

Both benchmarks are less than 1 percent shy of all-time highs. Analysts expect the sustained rise to continue after a period of consolidation.

“The consolidation phase will give investors time to accumulate and prepare for a rally, which can consolidate over the next three to six months,” said Kaizad Hozdar, investment advisor at TrustPlutus Wealth.

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Hozdar is bullish in the middle space, as well as sectors like auto ancillary, non-bank finance companies, consumer durables, capital goods and building materials.

among individual stocks, Ashok Leyland It rose nearly 4 percent to a nine-month high after analysts saw benefits from the automaker’s expansion plans, focus on margin improvement and pricing system.

Chariots of Titagarh And Hammers of Ramkrishna It gained more than 3 per cent and 7 per cent, respectively, after a consortium of the two companies won a contract from the Ministry of Railways worth Rs 12,227 crore.

Piramal Pharma stock jumped more than 5 percent after global brokerage Jefferies reiterated its “buy” pointing to scope for margin expansion in fiscal 2024.

Wall Street closed higher on Thursday after data showed that retail sales rose unexpectedly in May, pointing to strong consumer spending in the world’s largest economy.

Weekly jobless claims were higher than expected, indicating a tightening in the labor market, which could delay further interest rate hikes by the US Federal Reserve.

Meanwhile, Asian markets also advanced after the Bank of Japan maintained its ultra-easy monetary policy.