BENGALURU, Aug 30 (Reuters) - Indian shares hit record highs
on Monday, boosted by automobile and metals' stocks, with
sentiment broadly supported by Federal Reserve Chair Jerome
Powell's signal that the U.S. central bank would remain patient
in winding down its stimulus.
The blue-chip NSE Nifty 50 index climbed 1.03% to
16,877.65 by 0511 GMT and was set for a sixth straight session
of gain. The benchmark S&P BSE Sensex was 0.95% higher
"Sentiment is extremely bullish and there is a possibility
of hitting more records highs. There was a little bit of
apprehension on the Fed's stance but that is now out of the way.
So, we expect this liquidity flow and investor interest to
continue for some time," said Samrat Dasgupta, CEO of Esquire
Capital Investment Advisors.
Aluminum and copper producer Hindalco Industries
and automaker Tata Motors were among the top
performers on the Nifty 50 index, rising more than 2% each.
Bharti Airtel rose as much as 2.4% after the
telecom firm said it plans to raise up to 210 billion rupees
($2.86 billion) through a sale of shares to existing
Auto parts suppliers Bharat Forge, Sona BLW
Precision Forgings, and Sandhar Technologies
jumped 6.2%-13.7% after the Economic Times reported https://bit.ly/3yuigWm
U.S. electric-car maker Tesla Inc was in talks with at
least three local companies to source critical electronic,
electrical and mechanical components as part of its plans to
enter the Indian market.
Meanwhile, broader Asian shares rose after Powell struck a
dovish tone during his long-awaited speech, although investors
remained cautious about growth prospects in China.
Looking ahead, India's GDP data is set to be released on
Tuesday. The country's economic growth likely touched a record
high in the quarter through June, according to a Reuters poll
published last week.
($1 = 73.5250 Indian rupees)
(Reporting by Rama Venkat in Bengaluru; editing by Uttaresh.V)