Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Indian shares close at record high as consumer, IT stocks rally

08/13/2021 | 06:46am EDT

BENGALURU, Aug 13 (Reuters) - Indian shares rose 1% to close at a record high on Friday, driven by consumer and IT stocks as the country's retail inflation eased and the government assured of more support to alleviate economic strain caused by the pandemic.

The blue-chip NSE Nifty 50 index and the benchmark S&P BSE Sensex ended 1% higher at 16,529.10 and 55,437.29, respectively. Both the indexes rose for a second straight week, gaining more than 1%.

India's July retail inflation eased to 5.59% from June's 6.26%, below a Reuters poll forecast of 5.78%.

Aiding sentiment, Finance Minister Nirmala Sitharaman told industrialists on Thursday the economy had not reached a level where the central bank could begin pulling back liquidity.

"Macro data points are becoming a little bit supportive for the markets. While the Delta variant continues to be a concern in other countries, the number of cases in India have not gone up significantly," said Siddhartha Khemka, head of retail research, broking & distribution at Motilal Oswal Financial Services.

"There is a lot of movement of money from small- and mid-cap stocks to large-cap stocks, which is driving Nifty to new highs."

Analysts also noted that regulatory crackdowns in China have led to foreign investors redirecting money into equities in India and other emerging markets.

Foreign investors have bought $243.28 million in Indian equities so far this month, according to Refinitiv Eikon data.

Fast-moving consumer goods and IT services led gains among the Nifty's sectoral indexes, rising 0.9% and 1.4%, respectively.

Shares of Royal Enfield owner Eicher Motors fell 2.7%, after it warned of a hit to production due to a global chip shortage and a sudden exit of Enfield's chief executive officer.

Shares of real estate company Puravankara jumped 10%, while Technocraft Industries (India) surged 12.4% on strong June-quarter results. (Reporting by Nallur Sethuraman and additional reporting by Gauvrav Dogra in Bengaluru; editing by Vinay Dwivedi)


© Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
EICHER MOTORS LIMITED -1.96% 2651.3 End-of-day quote.4.79%
PURAVANKARA LIMITED -3.18% 129.2 End-of-day quote.53.17%
TECHNOCRAFT INDUSTRIES (INDIA) LIMITED -6.37% 892.5 End-of-day quote.151.44%
Latest news "Economy & Forex"
05:08aEUROPE GAS-Prices fall as drop in coal markets offsets higher demand
RE
05:03aSterling dips as risk currencies' rally pauses
RE
05:03aChina coal futures slump as gov't signals intervention to ease power crisis
RE
05:02aCHINA EVERGRANDE : Stocks stall, oil cools, Evergrande and lira fall
RE
04:58aStocks stall, oil cools, Evergrande and lira fall
RE
04:57aCard spending in UK falls below pre-COVID average - ONS
RE
04:57aBitcoin hovers below peak, doubts linger over boost from U.S. ETF
RE
04:54aChina banking sector's bad loan ratio rises as pandemic impact persists
RE
04:54aChina Evergrande secures bond extension as chairman foots project bills
RE
04:43aZambia owes nearly $27 billion in foreign and local public debt
RE
Latest news "Economy & Forex"