NEW DELHI: Domestic equity benchmarks Sensex and Nifty staged a stellar show on Friday on across-the-board buying fuelled by healthy macroeconomic indicators.
Domestic investors embarked on an all-round buying spree after inflation data showed the economy is in a good shape.
Data released by the Central Statistics Office (CSO) on Friday showed inflation based on wholesale prices eased to a four-month low of 4.53 per cent in August on softening of food prices.
The wholesale price index (WPI)-based inflation stood at 5.09 per cent in July and 3.24 per cent in August last year.Earlier this week, government data showed retail inflation eased to a 10-month low of 3.69 per cent in August.
The rupee, too, was on a recovery path in anticipation that the Prime Minister may announce some steps to curb its fall at an weekend review.
At the time of writing of this report, the rupee was trading 35 paise higher for the day at 71.93.Positive global cues also influenced the sentiment.
Asian shares rose on Friday as the US and China prepared for a new round of trade talks on the tariff row, while a decisive interest rate hike by Turkeys central bank helped support global risk appetite, Reuters reported.Global brokerage firm Morgan Stanley raised the Sensex target for September 2019 to 42,000, citing that the earnings cycle was at the cusp of turning.
However, it highlighted the election outcome in 2019 is a key risk for the market.The 30-share Sensex surged 373 points, or 0.99 per cent, to settle at 38,090, with only two stocks - Coal India (down 1.42 per cent) and Infosys (down 1.01 per cent) ending as losers.
The Nifty50 index jumped 145 points, or 1.28 per cent, to close at 11,515, with four stocks HCL Tech, Coal India, Infosys and GAIL ending in the red.
Reliance Industries finished flat.
BSE Midcap and Smallcap indices outperformed Sensex, gaining 1.62 per cent and 1.38 per cent, respectively.
For the week, Sensex slipped 0.78 per cent and Nifty 0.64 per cent.
Lets walk you through the key highlights of the sessionWho moved my SensexVedanta, surging 5.25 per cent, emerged as the top gainer in the frontline index.
It was followed by PowerGrid (up 3.31 per cent), Asian Paints (up 3.04 per cent), NTPC (up 3 per cent) and YES Bank (up 2.75 per cent).
In terms of index contribution, HDFC, ICICI Bank, IndusInd Bank, HDFC Bank and Vedanta emerged on top in that order.
Sugar stocks extend rallyExtending the winning streak to Fridays session, most sugar stocks logged robust gains, buoyed by government approval to a 25 per cent hike in the price of ethanol produced directly from sugarcane juice for blending in petrol.
Ponni Sugars (Erode) (up 20 per cent), Rana Sugars (up 20 per cent), Magadh Sugar Energy (up 20 per cent), Piccadily Agro Industries (up 20 per cent), Avadh Sugar Energy (up 19.99 per cent), Dalmia Bharat Sugar Industries (up 19.98 per cent), Uttam Sugar Mills (up 19.97 per cent), Rajshree Sugars Chemicals (up 19.96 per cent), Simbhaoli Sugars (up 19.94 per cent), Kesar Enterprise (up 19.93 per cent), Dhampur Sugar Mills (up 19.81 per cent), Dwarikesh Sugar Industries (up 19.66 per cent) and Ugar Sugar Works (up 19.21 per cent) surged up to 20 per cent.Fertiliser stocks dazzledFertiliser stocks caught investors attention after the Union Cabinet approved Rs 15,053 crore under a new procurement policy to ensure remunerative prices to farmers.
The new policy will allow states to choose a compensation scheme and rope in private agencies for procurement to ensure remunerative prices to farmers.
Shares of Fertilizers Chemicals Tranvancore (up 11.96 per cent), Rashtriya Chemicals Fertilizers (up 9.15 per cent), Nagarjuna Fertilizers Chem (up 5.76 per cent), National Fertilizer (up 4.81 per cent), Rama Phosphates (up 3.93 per cent), Chambal Fertilisers Chemicals (up 2.62 per cent), GSFC (up 2.58 per cent), Coromandel International (up 2.41 per cent) and Basant Agro Tech (India) (up 2.22 per cent) clocked handsome gains.MACD bullish on 60 countersMomentum indicator moving average convergence divergence, or MACD, showed bullish crossovers on 60 counters, including Vedanta, Hindalco, Tata Steel, Bharti Airtel and Cipla on NSE.
But, 29 counters, including PC Jeweller, NIIT, Majesco, HSIL, Ramky Infrastructure, showed bearish crossovers on NSE, hinting that the stock may see an ebb in the coming sessions.Oversold overbought stocksILFS Engineering, Intrasoft Technologies, Shankara Building, Jindal Worldwide, Vardhman Textiles, Blue Dart and Shreyas Shipping were the seven oversold stocks as per RSI on NSE.
On the flip side, 12 stocks, including Wipro, Mawana Sugars, Sakthi Sugars, Dalmia Bharat Sugar, Avadh Sugar Energy and Simbhaoli Sugars ended up as overbought stocks.
Most traded stocks on NSEBalrampur Chini (number of shares traded: 7.04 crore), JP Associates (6.21 crore), Reliance Communications (4.63 crore), YES Bank (3.66 crore), Bank of Baroda (2.19 crore) and Punjab National Bank (2.05 crore) finished the day as the most traded stocks on NSE.
On the other hand, YES Bank (Rs 1186.90 crore), RIL (Rs 991.38 crore), Axis Bank (Rs 768.59 crore), TCS (Rs 743.71 crore), HDFC (Rs 672.36 crore) and Maruti Suzuki (Rs 652.41 crore) emerged as the most active stocks in value terms on NSE.
52-week highs lowsAs many as 73 stocks, including Agri-Tech (India), Monnet Ispat Energy, Alchemist, Bartronics India and DB Corp, hit 52-week lows on NSE, defying the bullish mood of market.
Only 13 stocks, including Delta Magnets, Electrosteel Steels, Gangotri Textiles, Goldstone Technologies, Intellect Design Arena, IOL Chemicals and Pharmaceuticals, Karda Constructions, Lincoln Pharmaceuticals and Sonata Software, hit 52-week highs on NSE.