Sensex closes above 17000 on positive global cues
16 Nov 2009
The Sensex closed above the psychological 17,000 mark while Nifty shut shop above the 5,050 for the first time in the last 17 sessions. Today's rally was mainly led by realty, auto, banking, oil & gas and metal stocks while technology stocks remained under pressure.
Positive global cues helped the benchmark indices. European markets were trading 1-1.5% higher and the US index futures gained 0.5%, at the time of writing this report. Asian markets closed strong; Shanghai surged 2.7% and other markets rose 1.3-1.7% while only Nikkei gained just 0.2%.
The 30-share BSE Sensex rallied 183.68 points or 1.9% to settle at 17,032.51 and the 50-share NSE Nifty closed at 5058.05, up 59.10 points or 1.18%. The broader indices also jumped over 1.2%.
It was a low volume day in the last few sessions; total traded turnover was at Rs 76,481.59 crore. This included Rs 13,692.79 crore from the NSE cash segment, Rs 58,411.07 crore from the NSE F&O and the balance Rs 4,377.73 crore from the BSE cash segment.
Investment Guru Marc Faber believes that equities can gain 10-15% from the present levels and feels that the Sensex is fully priced but can gain 10-20%. However, he expects to see weakness in corporate profits in 2010 and believes that it is unlikely for the developed markets to outperform emerging markets.
The Nifty futures' volumes dipped significantly and it closed with 2.85 points discount, as per provisional data. The Nifty Open Interest PCR rose further to 1.60, as Nifty 5100 Put added 7 lakh shares in Open Interest while Nifty 5000 Call shed 7 lakh shares in Open Interest.